Student Name Multiple Choices household appliance service contracts for cash. The service contracts are for from contracts are credited to Unearned a one-year, two-year, or three-year period. Cash receipts his account had a balance of S5,700,000 at December 31,2017 before year-end are charged as incurred to the Service Contract Expense account, Service Revenue. T adjustment. Service contract costs which had a balance of $1,350,000 at December 31, 2017. Service contracts still outstanding at December 31,2017 expire as follows: During 2018 $1,440,000 1,710,000 1,050,000 During 2019 During 2020 What amount should be reported as Unearned Service Revenue in Eaton's December 31, 2017 balance sheet? a. $4,350,000. b. $4,200,000. c. $2,850,000. d. $1,500,000. On June 1, 2017, Nott Corp. loaned Horn $1,600,000 on a 12% note, payable in five annual installments of $320,000 beginning January 2, 2018. In connection with this loan, Horn was required to deposit $5,000 in a noninterest-bearing escrow account. The amount held in escrow is to be returned to Horn after all principal and interest payments have been made. Interest on the note is payable on the first day of each month beginning July 1, 2017. Horn made timely payments through November 1, 2017. On January 2, 2018, Nott received payment of the first principal installment plus all interest due. At December 31, 2017, Nott's interest receivable on the loan to Horn should be a. $0. b. $16,000. c. $32,000. d. $48,000. 2. 3. Included in Allen Corp's balance sheet at June 30, 2018 sa 10% $4,000,000 note payable. The e is dated October 1, 2016 and is payable in three equal annual payments of $2,000,000 plus interest. The first interest and principal payment was made on October 1, 2017. In Allen's June 30, 2018 balance sheet, what amount should be reported as accrued interest payable for this note? a. $450,000 b. $300,000. c. $150,500 d. $100,000