Cecil cashed in a Series EE savings bond with a redemption value of $16,000 and an original cost of $11,200. For each of the following independent scenarios, calculate the amount of interest Cecil will include in his gross income assuming he files as a single taxpayer:

a. Cecil plans to spend all of the proceeds to pay his sons tuition at State University. Cecils son is a full-time student, and Cecil claims his son as a dependent. Cecil estimates his modified adjusted gross income at $61,700.

b. Assume the same facts in part (a), except Cecil plans to spend $4,800 of the proceeds to pay his sons tuition at State University, and Cecil estimates his modified adjusted gross income at $57,500.