A Corporation Issues $300,000, 10%, 5-Year Bonds on January 1

Multiple Choice

A corporation issues $300,000, 10%, 5-year bonds on January 1, 2020, for $287,400.Interest is paid annually on January 1.If the corporation uses the straight-line method of amortization of bond discount, the amount of bond interest expense to be recognized in December 31, 2020's adjusting entry is

A) $32,520.
B) $30,000.
C) $27,480.
D) $2,520.