Sheridan Company receives a three$-$year, $$9,200,$ zero$-$interest$-$bearing note, and the related present value with a market interest rate of $8\%$ is $$7,303\mathrm{.}24.$ The total discount of $$1,896\mathrm{.}76$ under the straight$-$line method is amortized over the three$-$year period in equal amounts each year. Therefore, the annual amortization is $$1,896\mathrm{.}763$ or $$632\mathrm{.}25.$

$\backslash$table$[[\backslash$table$[[$Schedule of Note Discount Amortization$],[$Effective Interest Method$],[0\%$ Note Discounted at $8\%$