1. What amount should be reported as interest expense for 2022 ? a. 240,000 b. 120,000 c. 294,208 d. 220,256 2. What amount should be reported as gain or loss from change in fair value for 2022 ? a. 322,400 gain b. 322,400 loss c. 122,400 gain d. 122,400 loss 3. What is the carrying amount of the note payable on December 31, 2022? a. 3,677,600 b. 3,800,000 c. 3,493,720 d. 4,000,000