On January 1, 2012, Ott Co.sold goods to Flynn Company.Flynn signed a zero-interest-bearing note requiring payment of $80,000 annually for seven years.The first payment was made on January 1, 2012.The prevailing rate of interest for this type of note at date of issuance was 10%.Information on present value factors is as follows: Ott should record sales revenue in January 2012 of

Question

On January 1, 2012, Ott Co.sold goods to Flynn Company.Flynn signed a zero-interest-bearing note requiring payment of $80,000 annually for seven years.The first payment was made on January 1, 2012.The prevailing rate of interest for this type of note at date of issuance was 10%.Information on present value factors is as follows:  Ott should record sales revenue in January 2012 of

Quizplus · Accepted Answer

The Answer of On January 1, 2012, Ott Co.sold goods to Flynn Company.Flynn signed a zero-interest-bearing note requiring payment of $80,000 annually for seven years.The first payment was made on January 1, 2012.The prevailing rate of interest for this type of note at date of issuance was 10%.Information on present value factors is as follows:  Ott should record sales revenue in January 2012 of