On January 1, Year 1, Hector Incorporated issued bonds with a face value of $120,000, a stated rate of interest of 8% and a five-year term to maturity. Interest is payable in cash on December 31 of each year. The effective rate of interest was 7% and the bonds sold for $124,920. Hector used the effective interest rate method to amortize the premium. Based on this information the amount of the carrying value, of the bond liability on January 1, Year 2 was (Round answer to the nearest whole dollar.)