Use this to solve for PV of the interest :On August 1, Saola issued a $740,000, semi-annual, 7 year, 6.5% bond. The market rate for similarbonds on that day was 6.0%. Saola uses the effective interest method to record the amortization orpremiums and discounts. Saola's management has decided to report net bonds on the balance sheet,instead of reporting the bond and the premium or discount seperately what is the interest expense