Ti Company issued 8% bonds with a face amount of $4,000,000 on January 1, 2020 for $3,472,056. The market rate was 10%. Interest is paid semiannually on June 30 and December 31.

What is the credit amount to the Discount on Bonds Payable account in the journal entry recorded on December 31, 2020 (the second amortization period) using the effective interest method.

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