Island Corporation Owes Mutual Bank a 10% Note Payable for $100,000

Island Corporation owes Mutual Bank a 10% note payable for $100,000 plus $8,000 accrued interest on October 1, 2014. Island and Mutual Bank enter into an agreement whereby Island will pay Mutual $128,000 on the due date of the note on October 1, 2016.
-Island will record this transaction to recognize

A) an extraordinary debt restructuring gain of $20,000.
B) an extraordinary debt restructuring loss of $20,000.
C) an ordinary debt restructuring gain of $20,000.
D) neither a gain nor a loss from debt restructuring.