Designer Company issued 10-year bonds on 1anuary 1. The 9% bonds have a face value of $105,000 and pay interest every January 1 and July 1. The bonds were sold for $126,642 based on the market interest rate of 7 %. Designer uses the effective interest method to amortize bond discounts and premiums. On July 1 of the first year, Designer should record an interest expense (round to the nearest dollar) of Oa. $5.699 b. 54,725 Oc.$3,675 Od. s4.432