On January 1, 2020, Cullumber Corporation issued 12% bonds with a par value of $5,790,000, due in 10 years. The company incurred $192,000 in costs associated with the issuance of the bonds, which were capitalized. The bonds were issued at 102, and paid interest on January 1 and July 1 each year. Cullumber's year-end was March 31. The company followed ASPE and chose to use the straight-line method of amortization for bond discounts or premiums.