Widget Production Ltd. has a fiscal year end of June 30. In February 20X1, the Company borrowed $750,000 to fund an expansion. The Company paid $21,000 to obtain this financing. In January 20X2, the Company repaid $250,000 of the principal and in June 20X3, it repaid the remaining $500,000. All repayments were made from cash flow from operations. For tax purposes, which one of the following schedule of claims represents the most rapid method of claiming the costs of obtaining this financing?

A.$7,000 in 20X2 and $14,000 in 20X3.

B.$4,200 in each of fiscal 20X1 through 20X5.

C.$4,200 in 20X1, $8,400 in 20X2, and $8,400 in 20X3.

D.$4,200 in each of 20X1 and 20X2, and the remaining $12,600 in 20X3.

Please show working, thankyou

personal and corporate tax question