Mrs. Thompson, a 45 -year-old single taxpayer, purchased a Series EE Bond 15 years ago. The bond matured in June XX02, and Mrs. Thompson received $28,000 in principal and $12,000 in interest. Mrs. Thompson used the $40,000 in proceeds to pay for her dependent daughter's first semester of college tuition at Duke University, which was due by August XX02. Mrs. Thompson has a marginal tax bracket of 35%. Calculate the amount of tax she will pay on the bond redemption. A) $0 B) $9,800 C) $4,200 D) $14,000