Cypress Oil Company's December 31,2024, balance sheet listed $905,000 of notes receivable and $22,400 of...
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Cypress Oil Company's December balance sheet listed $ of notes receivable and $ of interest receivable included in current assets. The following notes make up the notes receivable balance: Note Dated principal of $ and interest at due on Note Dated principal of $ and interest due Note $ face value noninterestbearing note dated due Note was issued in exchange for merchandise. The company records adjusting entries only at yearend. There were no other notes receivable outstanding during Required: Determine the rate used to discount the noninterestbearing note. Determine the explicit interest rate on Note What is the amount of interest revenue that appears in the company's income statement related to these notes? Answer is complete but not entirely correct. 
Cypress Oil Company's December balance sheet listed $ of notes receivable and $ of interest receivable
included in current assets. The following notes make up the notes receivable balance:
Note Dated principal of $ and interest at due on
Note Dated principal of $ and interest due
Note $ face value noninterestbearing note dated due Note was issued in exchange for merchandise.
The company records adjusting entries only at yearend. There were no other notes receivable outstanding during
Required:
Determine the rate used to discount the noninterestbearing note.
Determine the explicit interest rate on Note
What is the amount of interest revenue that appears in the company's income statement related to these notes?
Answer is complete but not entirely correct.
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