Please, explain !

On January 1, Thompson Corporation issued $3,000,000, 14%, 5-year bonds with annual interest payable on December 31 The bonds sold for $3, 7.16, 788. The market rate of interest for these bonds was 12%. At the end of the first year, the carrying value of the bonds using straight-line amortization is A) $3,000,000 B) $3, 216, 288 C) $3, 173, 030 D) $2, 956, 742 This bond was sold at a Premium If it's sold at a Premium, then that is because the Market Rate