Olivia wants to buy some vacant land for investment purposes. she cannot afford the full purchase price. instead, olivia pays the landowner $8,000 to obtain an option to buy the land for $175,000 anytime in the next four years. fourteen months after purchasing the option, olivia sells the option for $10,000. what is the amount and character of olivia’s gain or loss?

At the beginning of 2014, winston corporation issued 10% bonds with a face value of $2,000,000. these bonds mature in five years, and interest is paid semiannually on june 30 and december 31. the bonds were sold for $1,852,800 to yield 12%. winston uses a calendar-year reporting period. using the effective-interest method of amortization, what amount of interest expense should be reported for 2014? (round your answer to the nearest dollar.)