3. Assume Sentinel Corp, an equipment distributor, sells a piece of machinery with a list price of $700,000 to Arch Inc. Arch inc. will pay $725,000 in one year. Sentinel Corp. normally sells this type of equipment for 80% of list price. How much should be recorded as revenue? a) $560,000 b) $580,000 c) $700,000 d) $725,000