Serenity Company issued \(\$ 100,000\) of \(6 \%, 10\)-year bonds when the market rate of interest was \(5 \%\). The proceeds from this bond issue were \(\$ 107,732\). Using the effective interest rate method of amortization, which of the following statements is true? Assume that interest is paid annually.

a. Interest payments to bondholders each period will be \(\$ 6,464\).

b. Interest payments to bondholders each period will be \(\$ 5,000\).

c. Amortization of the premium for the first interest period will be \(\$ 613\).

d. Amortization of the premium for the first interest period will be \(\$ 1,464\).