-Everett Corporation Issues a 8%, 9-Year Mortgage Note on January

question 30

Multiple Choice

-Everett Corporation issues a 8%, 9-year mortgage note on January 1, 2009, to obtain financing for new equipment. Land is used as collateral for the note. The terms provide for semiannual installment payments of $131,600. The following values related to the time value of money were available to Everett to help them with their planning process and compounded interest decisions. To the closest dollar, what were the cash proceeds received from the issuance of the note?

• A) $822,091
• B) $947,520
• C) $1,665,964
• D) $1,643,363

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