Question: On January 2 , Year 1 , Kerry Co . issued $ 4 million of 1 0 - year, 8 % bonds at par. The

On January 2, Year1, Kerry Co. issued $4million of 10-year, 8% bonds at par. The bonds, dated January1, Year1, pay interest semiannually on January1 and July1. Bond issue costs were $500,000. Kerry amortizes debt issue costs using the straight-line amortization method. What amount of bond issue costs is unamortized at June30, Year2?

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