Given the Following Bond Information

Given the following bond information:
What would be the taxable income on this bond if it were purchased at this price on December 20th and sold a year later for a price of 103.00? Assume face value of $10 000 and a semi-annual coupon payment.

A) Taxable capital gain of $400 and interest of $735
B) Taxable capital loss of $400 and interest of $735
C) Taxable capital loss of $200 and interest of $735
D) Taxable capital gain of $200 and interest of $656