Background for the next 8 questions: ABC Auditor has agreed to perform an inventory count for XYZ on 12/31/Y1, but will allow them to pay over time. They are considering several different note options below. XYZs normal borrowing rate is 6%. The pvoaf for .5% is provided below. For all other factors use the PV tables in your book, do not round factors.

Period Interest

36 32.8710

48 42.5803

60 51.7256 2a.

ABC will provide the service in exchange for a $45,000 non-interest bearing note, with equal payments made at the end of each of the next five years. The first payment will be made 12/31/Y2. What is Service Revenue at 12/31/Y1?