Use the Following to Answer Questions

Multiple Choice

Use the following to answer questions
On January 1,2016,The Hanover Corporation issued $70,500 of 8%,5-year bonds at 97.Hanover uses the straight-line method of bond discount amortization.The interest payments are due on December 31 each year.
-Based on the above,how much interest expense will Hanover report on its income statement on December 31,2016?

A) $423
B) $2,115
C) $5,640
D) $6,063