Intermediate Accounting 14th Edition

Published by Wiley
ISBN 10: 0470587237
ISBN 13: 978-0-47058-723-2

Chapter 7 - Cash and Receivables - Exercises - Page 411: E7-19a

Answer

Notes Receivable ..................................................... 300,000 …………………..Discount on Notes Receivable....................... 52,065 ………………...Consulting Revenue ......................................... 247,935*

Work Step by Step

*Calculation of present value of note: PV of 300,000 due in 2 years at 10% 300,000 X .82645 = 247, 935* 300,000-247, 935= 52,065
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