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Notes Receivable ( 16 points) Use the following present value tables to help answer the following questions. \begin{tabular}{|l|c|c|c|c|c|c|} \hline Present Value of One & 2.0% & 2.5% & 4% & 5% & 8% & 10% \\ \hline 5 periods & 0.90573 & 0.88385 & 0.82193 & 0.78353 & 0.68058 & 0.62092 \\ \hline 6 periods & 0.88797 & 0.86230 & 0.79031 & 0.74622 & 0.63017 & 0.56447 \\ \hline 10 periods & 0.82035 & 0.78120 & 0.67556 & 0.61391 & 0.46319 & 0.38554 \\ \hline 12 periods & 0.78849 & 0.74356 & 0.62460 & 0.55684 & 0.39711 & 0.31863 \\ \hline Present Value of an Ordinary Annuity & & & & & \\ \hline 5 periods & 4.71346 & 4.64583 & 4.45182 & 4.32948 & 3.99271 & 3.79079 \\ \hline 6 periods & 5.60143 & 5.50813 & 5.24214 & 5.07569 & 4.62288 & 4.35526 \\ \hline 10 periods & 8.98259 & 8.75206 & 8.11090 & 7.72173 & 6.71008 & 6.14457 \\ \hline 12 periods & 10.57534 & 10.25776 & 9.38507 & 8.86325 & 7.53608 & 6.81369 \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|l|} \hline \multicolumn{1}{|c|}{ Each box is worth I point. } & CalculatetheamountofeachpaymentABCwillreceive? & WhatistheamountoftheservicerevenueABCcanrecognize? & Whatamountofinterestrevenueshouldberecognizedonthisnotefortheyearending2016? & DeterminetotalInterestRevenueassociatedwiththisNote? \\ \hline Scenario1:OnJanuaryI,2015,ABCrenderedservicestoZCop.inexchangeforaS192,000non-interestbearingnoterequiring10paymentstoberemittedannuallyeachJan1withthefirstinstallmentdueimmediately.Aninterestrateof8%isimpured. & & & & \\ \hline \end{tabular} Notes Receivable ( 16 points) Use the following present value tables to help answer the following questions. \begin{tabular}{|l|c|c|c|c|c|c|} \hline Present Value of One & 2.0% & 2.5% & 4% & 5% & 8% & 10% \\ \hline 5 periods & 0.90573 & 0.88385 & 0.82193 & 0.78353 & 0.68058 & 0.62092 \\ \hline 6 periods & 0.88797 & 0.86230 & 0.79031 & 0.74622 & 0.63017 & 0.56447 \\ \hline 10 periods & 0.82035 & 0.78120 & 0.67556 & 0.61391 & 0.46319 & 0.38554 \\ \hline 12 periods & 0.78849 & 0.74356 & 0.62460 & 0.55684 & 0.39711 & 0.31863 \\ \hline Present Value of an Ordinary Annuity & & & & & \\ \hline 5 periods & 4.71346 & 4.64583 & 4.45182 & 4.32948 & 3.99271 & 3.79079 \\ \hline 6 periods & 5.60143 & 5.50813 & 5.24214 & 5.07569 & 4.62288 & 4.35526 \\ \hline 10 periods & 8.98259 & 8.75206 & 8.11090 & 7.72173 & 6.71008 & 6.14457 \\ \hline 12 periods & 10.57534 & 10.25776 & 9.38507 & 8.86325 & 7.53608 & 6.81369 \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|l|} \hline \multicolumn{1}{|c|}{ Each box is worth I point. } & CalculatetheamountofeachpaymentABCwillreceive? & WhatistheamountoftheservicerevenueABCcanrecognize? & Whatamountofinterestrevenueshouldberecognizedonthisnotefortheyearending2016? & DeterminetotalInterestRevenueassociatedwiththisNote? \\ \hline Scenario1:OnJanuaryI,2015,ABCrenderedservicestoZCop.inexchangeforaS192,000non-interestbearingnoterequiring10paymentstoberemittedannuallyeachJan1withthefirstinstallmentdueimmediately.Aninterestrateof8%isimpured. & & & & \\ \hline \end{tabular}

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