On January 1, 2016, Tonika Company issued a seven-year, $10,000, 8% bond. The interest is payable annually each December 31. The issue price was $9,496 based on an 9% effective interest rate. Tonika uses the effective-interest amortization method. The book value of the bonds as of December 31, 2016 is closest to: rev:

A) $9,441.

B) $8,696.

C) $9,551.

D) $55.