On January 2, 2022, Blastcorp. acquires $300,000 of BoonCompany's 10-year, 10% bonds at a price of $319,254 to yield 9%. Interest is payable each December 31. The bonds are classified as held-to-maturity.

Assuming that Blastcorp uses the straight-line method, what is the amount of premium amortization that would be recognized in 2022 related to these bonds?

a)

$1,925

b)

$1,380

c)

$1,506

d)

$1,266