13. A company issues $20,000,000, 7.8%, 20-year bonds to yield 8% on January 1, 2007. Interest is paid on June 30 and December 31. Using effective-interest amortization, how much interest expense will be recognized in 2007? a. $780,000 b. $1,560,000 c. $1,568,498 d. $1,568,332 14. A company issues $20,000,000, 7.8%, 20-year bonds to yield 8% on January 1, 2007. Interest is paid on June 30 and December 31. Using effective-interest amortization, what will the carrying value of the bonds be on the December 31, 2007 balance sheet? a. $19,612,643 b. $20,000,000 c. $19,625,125 d. $19,608,310