The Halogen Corporation issued a 5-year note payable on January 1, 2014 for $2,500. The interest rate is 5% and the annual payment of $578, due each December 31, includes both interest and principal.
Which of the following shows the effect of the December 31, 2014 payment? (Figures rounded to nearest dollar)
A) Choice A
B) Choice B
C) Choice C
D) Choice D

Question

The Halogen Corporation issued a 5-year note payable on January 1, 2014 for $2,500. The interest rate is 5% and the annual payment of $578, due each December 31, includes both interest and principal.
Which of the following shows the effect of the December 31, 2014 payment? (Figures rounded to nearest dollar) 
A) Choice A 
B) Choice B 
C) Choice C 
D) Choice D

Quizplus · Accepted Answer

The Answer of The Halogen Corporation issued a 5-year note payable on January 1, 2014 for $2,500. The interest rate is 5% and the annual payment of $578, due each December 31, includes both interest and principal.
Which of the following shows the effect of the December 31, 2014 payment? (Figures rounded to nearest dollar) 
A) Choice A 
B) Choice B 
C) Choice C 
D) Choice D

The Halogen Corporation Issued a 5-Year Note Payable on January