A&M Records Corporation Issued $1,000,000,8% Bonds,receiving a $30,000 Premium

A&M Records Corporation issued $1,000,000,8% bonds,receiving a $30,000 premium.On the interest payment date 5 years later,after the bond interest was paid and after 40% of the premium had been amortized,the corporation purchased the entire issue on the open market at 95 and retired the issue.As a result,the gain on retirement was

A) $12,000
B) $13,000
C) $18,000
D) $68,000
E) $130,000