On December 30, Year 1, Chang Co. sold a machine to Door Co. in exchange for a non-interest-bearing note requiring ten annual payments of $10,000. Door made the first payment on December 30, Year 1. The market interest rate for similar notes at date of issuance was 8%.

In its December 31, Year 1 balance sheet, what amount should Chang report as note receivable?

Answer rating: 100% (QA)

To determine the amount Chang Co should report as note receivable on its December 31 Year 1 balance ... View the full answer