answer C 7-09

this is answer A and B

Prepare a schedule showing interest revenue from the long-term receivables that would appear on Skysong's income statement for the year ended December 31, 2020. (Roum answers to decimal place 0.0.5,125) SKYSONG INC Interest Revenue from Long-Term Receivables LINE TO TEXT Skysong Inc. had the following long term receivable account balances at December 31, 2019. Not receivable from sale of division $1,800,000 Note receivable from officer 465,200 Transactions during 2020 and other information relating to Skysong's long-term receivables were as follows 1. The $1,000,000 note receivable is dated May 1, 2019, bears interest at 94, and represents the balance of the consideration received from the sale of Skysong's electronics division to New York Company, Principal payments of $600,000 plus appropriate Interest are due on May 1, 2020, 2021, and 2022. The first principal and interest payment was made on May 1, 2020. Collection of the note installments is reasonably assured. 2 The $465,200 not receivable is dated December 31, 2019, bears Interest at 8%, and is due on December 31, 2022. The note is due from Sean May, president of Skysong Inc. and is collateralized by 11,630 shares of Skysong's common stock. Interest is payable annually on December 1, and all interest payments were paid on their due dates through December 31, 2020. The quoted market price of Skysong's common stock was $46 per share on December 31, 2020. On April 1, 2020, Skysong sold a patent to Pennsylvania Company in exchange for a $115,000 zero interest-bearing note due on April 1, 2022. There was no established exchange price for the patent, and the note had no ready market. The prevailing rate of interest for a note of this type at April 1, 2020, was 12. The present value of S1 for two periods at 12% is 0.797 (use this factor). The patentada carrying value of 546,000 at January 1, 2020, and the amortization for the year ended December 31, 2020, would have been $9.200. The collection of the note receivable from Pennsylvania is reasonably assured. 4. On July 1, 2020, Skysong sold a parcel of land to Splinter Company for $200,000 under an installment sale contract. Splinter made a $60,000 cash down payment on July 1, 2020, and signed a 4-year 11 note for the $140,000 balance. The equal annual payments of prindpal and interest on the note will be $45,125 payable on July 1, 2021, through July 1, 2024. The land could have been sold at an established cash price of $200,000. The cost of the land to Skysong was $150.000. Circumstances are such that the collection of the installments on the note is reasonably assured 3. (a) (a) Your answer is correct. Prepare the long-term receivables section of Skysong's balance sheet at December 31, 2020. (Round SKYSONG INC. Long-Term Receivables Section of Balance Sheet December 31, 2020 Note receivable from sale of division 600000 Note receivable from officer 465200 Note receivable from sale of patent 99903 By 15 Installment contract receivable 110275 Total long-term receivables 1275378 (b) your answer is correct. Prepare a schedule showing the current portion of the long-term receivables and accrued interest receivable that would appear in Skysong's balance sheet at December 31, 2020. (Round answers to decimal places, e.g. 5,129.) SKYSONG INC Selected Balance Sheet Balances December 31, 2020 Current portion of long-term receivables He reistil trole of an 600000 Intament controuvable 29725 Talent portion to long-term cobet 620725 | 00 22000 7700 79700