Cullumber Company sells goods to Marin Corp. in exchange for a $1700003-year note bearing 8% interest. The market rate of interest for a transaction of this nature for Marin is 12%. The present value of 1 at 12% for 3 years is 0.71178 and the present value of an ordinary annuity of 1 at 1296 for 3 years is 2.40183. If the sale occurred on January 1 and the fiscal year ends on December 31 , the adjusting journal entry for interest revenue at the end of the first year using the effective-interest method (rounded to the nearest dollar) is 520400 $18440 540800 $13600