On January 1 of Year 1. Congo Express Airways issued $4,000,000 of 6% bonds that pay interest semiannually on January 1 and July 1. The bond issue price is $3,630,000 and the market rate of interest for similar bonds is 7%. The bond premium or discount is being amortized at a rate of $12,333 every six months. The amount of interest expense recognized by Congo Express Airways on the bond issue in Year 1 would be: Multiple Choice $264,666. $280,000 $215,334. O $240,000 $132,333 A company issued 5-year, 5% bonds with a par value of $91,000. The company received $88,947 for the bonds. Using the straight-line method, the amount of interest expense for the first semiannual interest period is: Multiple Choice $4,960.60 $2,069.70. $4,550.00 O $2,480.30 $2,275.00