The Designer Company issued 10-year bonds on January 1. The 5% bonds have a face value of $744,000 and pay interest every January 1 and July 1. The bonds were sold for $618,346 based on the market interest rate of 6%. Designer uses the effective interest method to amortize bond discounts and premiums. On July 1 of the first year, Designer should record interest expense (round to the nearest dollar) of Oa. $18.550 Ob. $22.320 Oc. 515,459 Od. $18.600