Problem 2:1 Notes Receivable (9 marks) VERSION VERSION 7 On January 1, 2018, London Inc. sold $50,000 worth of goods to Sarnia Ltd. It was determined that Sarnia Inc. had poor credit and signed a three year, zero- interest bearing note. London can borrow money at an interest rate of 1.5% Assume both companies follow IFRS (the effective- interest method of amortization). Requirements A) Calculate the present value of the note receivable. Show your work for part marks. B) Prepare the following entries for London Inc.: 1- Provide the journal entry required on January 1, 2018. Date Description Dr Cr Provide the journal entry required on December 31, 2018. Date Description Dr Cr 3- Provide the journal entry required on December 31, 2019. Date Description Dr Cr 4- Provide the journal entry required on December 31, 2020. Date Description Dr Cr