Kaleidoscope Paint On January 1, Year 1, This Company Issued $500,000, 10-Year

Kaleidoscope Paint
On January 1, Year 1, this company issued $500,000, 10-year, 9% bonds for $480,745. The bonds pay interest on June 30 and December 31. The market rate is 10%. The company plans to use the effective interest method of amortizing bond discounts and premiums. Refer to the PV table on pages 717 to 720 of the text.
-Refer to the figure Kaleidoscope Paint.What is the carrying value of the bonds after the first interest payment is made on June 30,Year 1? Refer to the PV table on pages 717 to 720 of the text..

A) $480,745
B) $482,282
C) $500,000
D) $503,245