On January 1 a company issued and sold a $340,000 6% 10-year bond payable and received proceeds of $330,000. Interest is payable each June 30 and December 31. The company uses the straight-line method to amortize the discount. The carrying value of the bonds immediately after the first interest payment is:

a. $340,000 b. $339,500 c. $340,500 d. $329,500 e. $330,500