On January 1, 2022, Kunto, a cash basis taxpayer, pays $46,228 for a 24-month certificate of deposit. The certificate is priced to yield 4% (the effective interest rate) with interest compounded annually. No interest is paid until maturity, when Kunto receives $50,000.

a. Compute Kunto’s gross income from the certificate for 2022.

b. Compute Kunto’s gross income from the certificate for 2023. 

Round all calculations to the nearest dollar.