a. At the beginning of year 1, ABC performed services in exchange for $30,000 to be paid at end of year 3.The interest rate on the note is 10%, which is the customers normal borrowing rate, with interest to be paid at the end of each year.

Y1 Revenue (PV)	Y1 Int. Rev. CV x Mkt. Int. Rate	Y2 Int. Rev. CV x Mkt. Int. Rate	Y3 Int. Rev. CV x Mkt. Int. Rate	End Y1 CV Beg. CV Cash + Int.	End Y2 CV Beg. CV Cash + Int.

b. At the beginning of year 1, ABC performed services with a fair value of $30,000.ABC will be paid equal amounts at the end of each quarter for three years. The interest rate is 10%, which is the customers normal borrowing rate.

Y1 Revenue	Y1 Int. Rev.	Y2 Int. Rev.	Y3 Int. Rev.	End Y1 CV	End Y2 CV

c. At the beginning of year 1, ABC performed services in exchange for a $30,000 3-year non-interest-bearing note.The customer had a credit rating which required that money be borrowed at 10% interest.

Y1 Revenue	Y1 Int. Rev.	Y2 Int. Rev.	Y3 Int. Rev.	End Y1 CV	End Y2 CV

d. At the beginning of year 1, ABC performed services in exchange for a non-interest bearing note requiring three $10,000 payments.The payments will be made at the end of each year for three years.The customer had a credit rating that required that money be borrowed at 10%.

Y1 Revenue	Y1 Int. Rev.	Y2 Int. Rev.	Y3 Int. Rev.	End Y1 CV	End Y2 CV

e. At the beginning of year 1, ABC performed services in exchange for a 3 year $30,000 6% interest bearing note with the interest to be paid at the end of each year. The customer had a credit rating that required that money be borrowed at 10% interest.

Y1 Revenue	Y1 Int. Rev.	Y2 Int. Rev.	Y3 Int. Rev.	End Y1 CV	End Y2 CV