Question: PiP 6 . 1 9 Transaction Price - Extended Payment Terms Facts On July 1 , 2 0 2 3 , SEK Company sold goods

PiP 6.19
Transaction Price-Extended Payment Terms
Facts
On July 1,2023, SEK Company sold goods to Grant Company for $900,000 in exchange for a four-year, zero-interest-bearing note with a face amount of $1,416,163. The goods have an inventory cost on SEK's books of $590,000 and their fair value is $900,000.
Instructions
a. How much revenue should SEK record on July 1,2023?
b. How much revenue should it report related to this transaction on December 31,2023? Show journal entries.
PiP 6 . 1 9 Transaction Price - Extended Payment

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