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On December 31, 2015, Hannah Corp. received a $100,000, 3-year, 6% Note from a customer for the purchase of inventory from Hannah. Interest payments associated
On December 31, 2015, Hannah Corp. received a $100,000, 3-year, 6% Note from a customer for the purchase of inventory from Hannah. Interest payments associated with the note are to be made annually and this customer usually borrows at a 12% rate of interest. (13 points) Calculate the following amounts for Hannah Corp. related to this Note Receivable transaction a. Sales Revenue (on 12/31/2015). b. Interest Revenue on 12/31/2016 C. Interest Revenue on 12/31/2017 d. Book Value of Note Receivable on 12/31/2017 (after interest payment due on this date was received)
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