2. X Corp issues a bond on March 1, 2016, with a maturity date of February 28, 2026. The issue price and the redemption amount are 100,000. The bonds have a 6% coupon. On March 1, 2021, C, an accrual basis taxpayer, purchases one of the bonds with a redemption amount of $10,000 for $9,000. C borrows the full $9,000 to purchase the bond. In 2019, C incurs $750 of interest expenses. a. Assuming C does not elect to accrue the market discount into income, how much of the $750 is deductible in 2021? If not all, what happens to the excess?