QUESTION 1 On January 1, 20x2, Tidball's Forensic Services (TFS) issued (sold) $3,000,000 of five-year bonds that pay 6% interest semi-annually on June 30 and December 31. The market rate of interest at time of issuance was 6.5%. The net proceeds realized from the bond sale were $2,906,832, representing the $2,936,832 gross proceeds from the sale less $30,000 in directly attributable issuance costs. TFS classified this liability at amortized cost. On January 1, 20X5, TFS repurchased all $3,000,000 of these bonds in the open market. The bonds were yielding 7% when repurchased. What is the gain or loss that TFS will recognize on derecognition of this bond liability? a $55,096 gain b.$14,089 gain c.$41,007 gaind. $38,072 loss QUESTION 2 On January 1, 20X4, Golf Emporium Inc. (GEI) issued (sold) $2,000,000 of seven-year bonds that pay 5% interest semi-annually on June 30 and December 31. The market rate of interest at time of issuance was 4%. Transaction costs directly related to the issuance of these bonds totaled $20,000. GEI classified this liability at amortized cost. What amount of interest expense pertaining to the bonds should GEl report on its statement of comprehensive income for the six-month period ended June 30, 20X4? a $43,706 b.$44,122 c.$50,000 d. $42,021