A Company Issued 7-Year,8% Bonds with a Par Value of $200,000.The

Multiple Choice

A company issued 7-year,8% bonds with a par value of $200,000.The market rate when the bonds were issued was 5.5%.The company received $203,010 cash for the bonds.Using the straight-line method,the amount of recorded interest expense for the first semiannual interest period is:

A) $8,000
B) $8,215
C) $7,785
D) $16,000
E) $4,990