On January 2, 2015, Garage Master Construction, Inc issued $500,000, 10-year bonds for $574,540 . The bonds pay interest on June 30 and December 31 . The face rate is 8% and the market rate is 6%.The interest expense on the bonds at June 30, 2015 is
a. $ 2,764 .
b. $17,236.
c. $20,000 .
d. $22,764.
b
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