On January 2, 2019, a calendar-year corporation sold 8% bonds with a face value of €600,000. These bonds mature in five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for €553,600 to yield 10%. Using the effective-interest method of computing interest, how much should be charged to interest expense in 2019? (Show your work for the answer C)
a. €48,000.
b. €55,360.
c. €55,544.
d. €60,000.