Casio Incorporated accepted a two-year noninterest-bearing note for $605,000 on January 1, 2024. The note was...

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Casio Incorporated accepted a two-year noninterest-bearing note for $605,000 on January 1, 2024. The note was accepted as payment for merchandise with a fair value of $500,000. The effective interest rate is 10% The cash collection on December 31.2025. would be recorded as: Account Title Debit Credit Discount on notes receivable 55.000 Interest revenue 55.000 Cash 605,000 Notes receivable 605.000 Account Title Debit Credit Cash 605.000 Notes receivable 605,000 Account Title Debit Credit Cash 605,000 Notes receivable 500.000 Account Title Discount on notes receivable) Discount on notes receivable 105.000 105.000 Debit Credit Interest revenue Cash Notes receivable 105.000 605,000 605.000 Casio Incorporated accepted a two-year noninterest-bearing note for $605,000 on January 1, 2024. The note was accepted as payment for merchandise with a fair value of $500,000. The effective interest rate is 10% The cash collection on December 31.2025. would be recorded as: Account Title Debit Credit Discount on notes receivable 55.000 Interest revenue 55.000 Cash 605,000 Notes receivable 605.000 Account Title Debit Credit Cash 605.000 Notes receivable 605,000 Account Title Debit Credit Cash 605,000 Notes receivable 500.000 Account Title Discount on notes receivable) Discount on notes receivable 105.000 105.000 Debit Credit Interest revenue Cash Notes receivable 105.000 605,000 605.000