On January 1 of Year 1, Congo Express Airways issued $3,150,000 of 5% bonds that pay interest semiannually on January 1 and July 1. The bond issue price is $2,840,000 and the market rate of interest for similar bonds is 6%. The bond premium or discount is being amortized at a rate of $10,333 every six months. The amount of interest expense recognized by Congo Express Airways on the bond issue in Year 1 would be:

On January 1 or Year 1, Congo Express Aliways issued $3,150,000 of 5% bonds thst pay interest semiannually on January 1 and Joly 1. The bond istue price is $2,840,000 and the mathet rate of interest for similar bonds is 6%. The bond premium or discount is being amortized at a rate of $10,333 every sir months. The amount of interest expense recognted by Congo Express Alrways on the bond issuo in Year 1 would be: Motiple Croice $89,065. 3136934 507500 strs.se. 5189,000