On january 1, 2018, byner company purchased a used tractor. byner paid $5,000 down and signed a noninterest-bearing note requiring $32,000 to be paid on december 31, 2020. the fair value of the tracto

On january 1, 2018, byner company purchased a used tractor. byner paid $5,000 down and signed a noninterest-bearing note requiring $32,000 to be paid on december 31, 2020. the fair value of the tractor is not determinable. an interest rate of 10% properly reflects the time value of money for this type of loan agreement. the company's fiscal year-end is december 31.