On November 1, 2017, Austin Services issued $305,000 of five-year bonds with a stated rate of 12%

The bonds were issued at par, and Austin makes semiannual payments on April 30 and October 31. On December 31, 2017, Austin made an adjusting entry to accrue interest at year-end. No further entries were made until April 30, 2018, when the first payment was made. What amount of interest expense was recorded for the period of January 1 to April 30, 2018?
A) $12,200
B) $36,600
C) $18,300
D) $29,280

A .Interest Expense = $305,000 x 12% x 4/12 = $12,200