On January 1 of the current year, Barton Corporation issued 10%, 5-year bonds with a face value of $109,000. The bonds are sold for $103,550. The bonds pay interest semiannually on June 30 and December 31, and the maturity date is December 31, 5 years from now. Barton records straight-line amortization of the bond discount. The bond interest expense for the current year ended December 31 is

a.$5,450

b.$545

c.$11,990

d.$12,535