Burlingame Co. is purchasing a new forklift to be used in its warehousing operations. Burlingame borrowed $120,000 from its bank in return for an installment note with 8% interest. Burlingame will make 6 equal annual payments of $25,958. Interest expense for the second period equals:

a.) $17,667.

b.) $9,600.

c.) $8,291.36.

d.) $25,958.