Ivanhoe Company receives 385000 when it issues a 385000 8 mo

Ivanhoe Company receives $385,000 when it issues a $385,000, 8%, mortgage note payable to finance the construction of a building at December 31, 2017. The terms provide for annual installment payments of $44,979 on December 31.Prepare an amortization schedule of a mortgage note for two years.

Solution

Prepare an amortization schedule of a mortgage note for two years.