Case A. (6 marks) On January 1, 2020, Sultan Company sold equipment on credit to Duke Company. Duke agreed to make a $7,000 cash down payment on January 1, plus payments of $5,000 on January 1 for each of the next three years. The implicit interest rate was 8%. The equipments list price was $22,000. Prepare the journal entry by Sultan to record the sale revenue on January1, 2020, and calculate the amount of revenue to be recognized in 2020. Round to the nearest cent.

Entry to record sale revenue on January 1 by Sultan:

Total amount of revenue to be recognized from this sale by Sultan in 2020:____________________