January 1, 2014, Frick Co. issued 3,000 of its 9%, $1,000 face value bonds at 101 1/2. In connection with the sale of these bonds, Frick paid the following expenses: Promotion costs $ 20,000

Engraving and printing 35,000

Legal fees & commissions 200,000

What amount should Frick record as:

a. bond issue costs to be amortized over the termof the bonds

b. bond premium or discount