Calculate the present value of the note receivable using a 15% interest rate. Using the present value of the note as the only economic benefit received, recalculate the gain or loss on the transaction. (N = 5 years)

Sensor didn't have any loans against the investment, so they aren't incurring any interest cost on the stock or the new note. They figured that there isn't any need to hurt Greenco's cash flow when Sensor doesn't have any interest cost on the investment," Rico responded. "Rico, you sure know a lot about this transaction," teased Elizabeth. "You'd think that you had found the buyer and negotiated the deal." Well, I am pretty excited," Rico responded. "I worked with the CFO on the transaction, reviewing the entry in the general journal and its reporting in Sensor's income statement. I may not have arranged the deal, but I was instrumental in getting out the audited statements just in time. As you know, Sensor really needed some serious cash infusion as soon as possible from some lender to complete a production facility for that new circuit board." Since I missed all the excitement while I was working on a different client, why don't you share the details of the transaction?" demanded Elizabeth. Well,Sensor was carrying the investment at $5,100,000 and sold it to Greenco for $8,000,000. So they booked a $2,900,000 gain on the transaction," Rico confidentially replied