Smith Company is buying a Widget from Jones Company. The original cost on January $1,20$X$2$ was $$30,000.$ Smith put $10\%$ down and is making annual payments each December $31$st of $$6,409\mathrm{.}70$ which include interest at $6\%.$ If Smith is properly amortizing this purchase, the interest expense for $20$X$3($second year$)$ is: