On 1/1/21 Barb, Inc. issues a $25,000 bond with a term of 5 years and a stated rate of 3%, with interest payments occurring annually every December 31. The market rate of interest on this bond is 10%. The proceeds (purchase price) of the bond are $18,366. How much interest expense will Barb, Inc. record on 12/31/21 (the date of the first interest payment) assuming the company uses the straight-line method for any discount or premium amortization? HINT: determine the journal entry that will occur on 12/31/21 for Barb, then answer with the amount of interest expense in that entry. You may round your numbers to the nearest dollar. Make your answer a positive number. Question 7 1.25 pts #7 On 1/1/21 Barb, Inc. issues a $25,000 bond with a term of 5 years and a stated rate of 3%, with interest payments occurring annually every December 31. The market rate of interest on this bond is 10%. The proceeds (purchase price) of the bond are $18,366. How much 'Discount on Bonds Payable' will Barb, Inc. amortize on 12/31/21 (the date of the first interest payment) assuming the company uses the straight-line method for any discount or premium amortization? HINT: determine the journal entry that will occur on 12/31/21 for Barb, then answer with the amount that will be debited or credited to 'Discount on Bonds Payable. You may round your numbers to the nearest dollar. Make your answer a positive number.