Accounting Bonds Formula Accounting Question, Need Help.?

Accounting Question, Need Help.? - accounting bonds formula

On 1 Stanley Inc. 4000000 July issues $ 10, 7%, bonds July 1 to 89, if the market interest rate is 8%. Stanley Company uses a straight line. Interest rates are due by June 30 to December 31. Interest expense recognized for the first semi-annual interest payment is 31 December as follows:

A0 160 $ 000 B) $ 138,000 c) $ 162,000
D) $ 320,000

Can you tell me where to find the answer to what the formula I used to know I really need to, thank you.