Passion Company sold machinery on January 1, 2017 for which the cash selling price was 758,200. The buyer entered into an installment sale contract at an implicit interest rate of 10%

The contract required payment of 200,000 a year over 5 years with the first payment due on december 31, 2017

What amount of interest income should be reported in 2018?

a. 20,000 b. 75,820 c. 63,402 d. 0