A company issued 8.5%, 5-year bonds with a par value of $260,000. The market rate when the bonds were issued was 9.0%. The company received $254,856.73 cash for the bonds. Using the effective interest method, the amount of interest expense for the second semiannual interest period is: $11,487.39. 22,100.00 $11,468.55. $11,050.00. $22,955.94