R.T. Jackson started Jackson Company on January 1, 2014. The company experienced the following events during its first year of operation:

 

1.	Earned $3,000 of cash revenue for performing services.
2.	Borrowed $4,800 cash from the bank.
3.	Adjusted the accounting records to recognize accrued interest expense on the bank note. The note, issued on August 1, 2014, had a one-year term and a 6 percent annual interest rate.

 

Required

a.	What is the amount of interest expense in 2014? (Do not round intermediate calculations.)

     
 

b.	What amount of cash was paid for interest in 2014?