Answers are bolded. Please provide detailed explanation of how to solve these. Thank you.

The following information relates to questions 4 and 5.

On January 1, 2017, Fullbright Company sold goods to Blue Dirt Company for $400,000 in exchange for a 4-year, zero-interest-bearing note with a face amount of $629,406 (imputed rate of 12%). The goods have an inventory cost on Fullbrights books of $240,000.

4. What amount of Sales Revenue should Fullbright recognize in 2017?

$400,000

$229,406

$240,000

$629,406

5. What amount of Interest Revenue should Fullbright recognize in 2017?

$229,406

$ 48,000

$ 75,529

$ 57,352