Answer:
correct option is a. $617,911
Explanation:
given data 
issued = $600,000
rate = 10 % 
time 5 year 
amount  = $648,666
effective-interest rate =  7%
solution
we get here carrying value so first we get here Interest paid per semiannual period that is 
Interest paid per semiannual period = $600000 ×10% ×  
   
Interest paid per semiannual period = $30000 
and 
Interest expense on 30 June = $648666 × 7% ×  
  
Interest expense on 30 June = $22703
and 
Interest expense on 30 December = $641369 × 7% ×  
  
Interest expense on 30 December = $22448
so 
Interest expense on 30 June  = ($641369 - $7552) × 7% ×  
  
Interest expense on 30 June = $22184
and 
Interest expense on 30 December = ($633817 - $7816) × 7% ×  
  
Interest expense on 30 December = $21910
so as that we get Carrying value of 1st January that is
Carrying value of January 1 =  $633817  - $7816-8090 
Carrying value of January 1 = 617911
so correct option is a. $617,911