Currie Company borrowed $25,000 from the Sierra Bank by issuing a 10% three-year note. Currie agreed to repay the principal and interest by making annual payments in the amount of $10,053. Based on this information, the amount of the interest expense associated with the second payment would be: (Round your answer to the nearest dollar.)

Multiple Choice

$1,745.

$1,676.

$5,521.

$2,500.