On January 1,2010,Jacob Issues $600,000 of 11%,15-Year Bonds at a Price

Multiple Choice

On January 1,2010,Jacob issues $600,000 of 11%,15-year bonds at a price of 102½.Six years later,on January 1,2016,Jacob retires 30% of these bonds by buying them on the open market at 98½. All interest is accounted for and paid through December 31,2015,the day before the purchase.The straight-line method is used to amortize any bond discount.What is the carrying value of the bond on January 1,2016?

A) $472,000
B) $531,076
C) $584,924
D) $609,000
E) $600,000