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On January 1, 2020, Crete Inc. issued a three-year, face amount $230,000, zero-interest-bearing note to Thessaloniki Inc., and received $172,799. The implied interest rate is

On January 1, 2020, Crete Inc. issued a three-year, face amount $230,000, zero-interest-bearing note to Thessaloniki Inc., and received $172,799. The implied interest rate is 10% on this note transaction. What is the amount of interest income should Thessaloniki Inc. recognize in 2020?

a.$0

b.$17280.

c.$23000.

d.$50350.

e.None of the above.

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