Blue Inc. issued its $125,000, 7%, ten-year bonds to the public on January 1, 2016. The bonds pay interest annually. Blue received $144,303 in cash at the issuance of the bonds. The market rate of interest when the bonds were issued was 5%. Blue has a December 31 year-end. Assume that no adjusting journal entries have been made during the year. Compute the amount of the premium that Blue Co. should amortize on December 31, 2016, assuming the effective-interest method is used