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1. On January 1, 2019, Melrose Manufacturing issued a 5-year bond with a face value of $20,000 and a stated interest rate of 6%. The

1. On January 1, 2019, Melrose Manufacturing issued a 5-year bond with a face value of $20,000 and a stated interest rate of 6%. The market interest rate is 4% and the bond was issued for $21,780.73. Using the effective-interest method of amortization, how much interest expense will be recorded for the year ended December 31, 2020? A. $871.23 B. $1,200.00 C. $844.40 D. $858.08

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