Parker buys ten zero-coupon bonds with a maturity of 20 years for a total of $2,584.19. Assume he buys the bonds on July 1st. How much interest will he have to report for tax purposes for the first year? Assume annual compounding for simplicity and round your answer to the nearest dollar.

A. $0 because they are zero-coupon bonds.

B. $90.

C. $181.

D. $1,383.