On January 1, Year 1, Stacy Corporation issued 5-year $100,000 bonds with a 4% stated rate of interest at 97 . Stacy Corporation pays the interest annually on December 31 and uses the straight-line amortization method. What is the total interest expense associated with these bonds for Year 1? a) $3,400 b) $4,000 c) $4,600 d) $7,000