Zero-interest Bearing note

Problem 2 Part B Zero-Interest Bearing Note - Ch 7 Smith Corp. receives a three-year, similar risk is 15 %. a three-year, $5,000 zero-interest-bearing note. The market rate of interest for a note of Instructions: (round to nearest dollar) 9. What is the face amount of the note? 10. What is the stated interest rate? 11. Calculate the present value of the note. 12. Prepare the journal entry to record the receipt of the note. 13. Prepare the Schedule of Note Discount Amortization table using the effective-interest method for this note. 14. Prepare the journal entry to record the repayment of the note at end of year 3