Your Company issued a $2,000,000 face value bond on January 1, 2021. The 20-year term bond was

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Question:

Your Company issued a $2,000,000 face value bond on January 1, 2021. The 20-year term bond was issued at 98 and had a 2.8% stated rate of interest that is semiannually on June 30 and on December 31st of each year. What is the semiannual interest expense recorded when the bondholders are paid?

Group of answer choices

$27,000

$26,000

$29,000

$30,000

$28,000