Beta Ltd issued 500 \($1000\) unsecured notes at face value, maturing on 30 June 2018. On 30 June 2018, after payment of interest, the unsecured notes were redeemed at 96. Prepare the journal entry to record the redemption of the unsecured notes on 30 June 2018.
Reasoning

The journal entry should eliminate the carrying amount of the notes, record the payment of cash and recognise the resulting gain. Cash paid is 96% of face value.