Designer Company issued 10-year bonds on January 1. The 10% bonds have a face value of $100,000 and pay interest every lanuary 1 and July 1. The bonds were sold for $120,611 based on the market interest rate of 8%. Designer uses the effective interest rate method to amortize bond discounts and premiums. On July 1 of the first year, Designer should record an interest expense (rounded to the nearest dollar) of a. 54,824 b. 55.000 C. 56,031 d. 54,000