On January 1, 2013, Legion Company sol $200,000 of 10% ten year bonds. Interest is payable semiannually on June 30and December 31. The bonds were sold for $177,000, priced to yield 12%. Legion records interest at the effective rate. Legion should report bond interest expense for the six months ended June 30, 2013, in the amount of: A $8,850 B $10,000 C $10,620 or D $12,000