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What amount should king recognize as gain on the redemption

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Question - On June 30, 2019, King Co, had outstanding 9%, P5M face value bonds maturing on June 30, 2024. Interest was payable semiannually every June 30 and December 31. On June 30, 20x9, after amortization was recorded for the period, the unamortized bond premium and bond issue cost were P30,000, and P50,000 respectively. On that date, King acquired all its outstanding bonds on the open market at 98 and retired them. At June 30, 2019, what amount should king recognize as gain on the redemption of bonds?

a. P180,000

b. None of the choices

c. P80,000

d. P20,000

e. P120,000

Reference no: EM133099159

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