On January 1, 2016, an investor paid $303,000 for bonds with a face amount of $345,000. The stated rate of interest is 10% while the current market rate of interest is 12%. Using the effective interest method, how much interest income is recognized by the investor in 2016 (assume annual interest payments and amortization)?

$34,500.

$41,400.

$36,360.

$30,300.