On April 1, 2020, the City of Star-Lord issued $5,000,000 in 4% general obligation, tax supported bonds at 101 for the purpose of constructing a new police station. The premium was transferred to a debt service fund. A total of $4,990,000 was used to construct the police station, which was completed before December 31,2020 , the end of the fiscal year. The remaining funds were transferred to the debt service fund. The bonds were dated April 1,2020, and paid interest on October 1 and April 1. The first of 20 equal annual principal payments of $250,000 is due April 1 . 2021. What amount would be reported as debt service expenditures for the year ended December 31 , 2021 ? $445,000. $450,000. $345,000. $350,000