On January 1, Thompson Corporation issued $4,000,000, 14%, 5-year bonds with interest payable on December 31. The bonds sold for $4,288,384. The market rate of interest for these bonds was 12%. On the first interest date, using the effective-interest method, the debit entry to Bond Interest Expense is for 1. $502,324. 2. $514,606. 3. $560,000. 4. $480,000