In 2021, Mrs. Ulm paid $80,000 for a corporate bond with a $100,000 stated redemption value. Based on the bonds yield to maturity, amortization of the $20,000 discount was $1,512 in 2021, $1,480 in 2022, and $295 in 2023. Mrs. Ulm sold the bond for $84,180 in March 2023. Assume the taxable year is 2023.

Required:

What are her tax consequences in each year assuming that she bought the newly issued bond from the corporation?

What are her tax consequences in each year assuming that she bought the bond in the public market through her broker?