a.) On January 1, 20X1, Columbia Co. issued a 10-year, 10% $100,000 debenture bonds for $113,592 to yield 8%. The bonds pay interest semiannually on July 1 and Jan 1. Columbia uses the effective interest method to amortize bond premiums and discounts. What is the July 1, 20X1 bond carrying value?

b.) On January 1, 2010, Solis Co. issued its 10% bonds in the face amount of $3,000,000, which mature on January 1, 2020. The bonds were issued for $3,405,000 to yield 8%, resulting in bond premium of $405,000. Solis uses the effective-interest method of amortizing bond premium. Interest is payable annually. Soliss December 31, 2011, interest expense should be

(note: interest is payable only annually)