ACCT $2101$:

Exercise $7-12$A $($Algo$)$ Notes receivable$$accrued interest LO $7-5$

On May $1,$ Year $1,$ Benz$$s Sandwich Shop loaned $$22,000$ to Mark Henry for one year at $8$ percent interest.

Required:

What is Benz$$s interest income for Year $1?$

What is Benz$$s total amount of receivables at December $31,$ Year $1?$

How will the loan and interest be reported on Benz$$s Year $1$ statement of cash flows?

What is Benz$$s interest income for Year $2?$

What is the total amount of cash that Benz$$s will collect in Year $2$ from Mark Henry?

How will the loan and interest be reported on Benz$$s Year $2$ statement of cash flows?

What is the total amount of interest that Benz$$s earned on the loan to Mark Henry?

Note: For all requirements, round your answers to the nearest dollar amount.