You are the new controller for Moonlight Bay Resorts. The company CFO has asked you to determine the the following information on the company's debt (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) 1. On July 1, 2016, Moonlight Bay issued bonds with a face amount of $1,500,000. The bonds mature in 20 years and interest of 9% is payable semiannually on June 30 and December 31 . The bonds were issued at a price to yield investors 10%. Moonlight Bay records interest at the effective rate. a balance of $520,000. The annual payment is $70,000, payable each June 30 payments of $35,000 beginning January 1, 2016. Moonlight Bay's incremental borrowing rate on the 2. At December 31, 2015, Moonlight Bay had a 10% installment note payable to Third Mercantile Bank with 3. On January 1, 2016, Moonlight Bay leased a building under a capital lease calling for four annual lease date of the lease was 10% and the lessor's implicit rate, which was known by Moonlight Bay, was 9%. Required: Calculate interest expense for the year ended December 31, 2016. Interest expense