Intermediate Financial Reporting 1Week 3 Quiz3 / 3 4. On January 1, 20X3, Gaudreau Enterprises sold goods in exchange for a $200,000, five-year, interest-free note from the purchaser.

The note was repayable at $20,000 semi-annually, first due June 30, 20X3. The market rate of interest for similar notes was 6% per annum, payable semi-annually. Gaudreau prepares its financial statements in accordance with IFRS.

What amount of interest revenue should the company report on its December 31, 20X3, year-endfinancial statements?

a) $ 9,790

b) $10,236

c) $10,390

d) $12,000