What is the carrying amount of the bond on jan 1 2014


The Master Corp issued $300,000 at 7.5% 10 yr bonds. The bonds are dated and sold on Jan 1, 2013. The interest payment dates are Jan 1, Jul 1. The bonds are issued for $289,688. The amount of interest rate is 8%. In the 1st semiannual interest payment date July 1, 2013 the company recorded $11,588 in interest expense and $338 in discount amortization. Using the effective interest method what is the carrying amount of the bond on Jan 1, 2014 balance sheet?

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