On January 1, 2021 Precious Metals Ltd issued a $100,000, 6%, 5-year bond for $91,889 to yield 8%. Interest is payable semi-annually. The interest expense and interest payable for the first year are closest to: (Do not round intermediate calculations. Round final answer to nearest whole dollars.) A B C Multiple Choice Interest expense Interest payable $3,675 $3,000 $7351 $6,000 $7,378 $6,000 $7,351 $8,000 Choice A Choice C Choice B Choice D