On January 1, 20X3, Gaudreau Enterprises sold goods in exchange
for a $200,000, five‑year, interest-free note from the purchaser.
The note was repayable at $20,000 semi‑annually, first due June 30,
20X3. The market rate of interest for similar notes was 6% per
annum, payable semi-annually.
Gaudreau prepares its financial statements in accordance with IFRS.
What amount of interest revenue should the company report on its
December 31, 20X3, year-end financial statements?
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