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How much interest revenue should be recognized for the year

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On March 1, 20X6, Trend Co. received a three-year, 7%, $39,000 note for servicesperformed. The customer has a credit rating that requires it to borrow funds at a rate of10%. The note calls for three equal payments comprising principal and interest due on theanniversary of the note. How much interest revenue should be recognized for the year ended December 31, 20X6?

a) $2,156

b) $2,275

c) $2,400

d) $3,080

Using financial calculator, I get: N=3; I/Y=10; PMT=2,730; FV=39,000; CPT PV=36090.38*10%*306/365=3,025 which is non of the suggested answers. Can anybody help please?

Reference no: EM131793372

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