On July 1, Shady Creek Resort Borrowed $250,000 Cash by Signing

Multiple Choice

On July 1, Shady Creek Resort borrowed $250,000 cash by signing a 10-year, 8% installment note requiring equal payments each June 30 of $37,258.
- What amount of principal will be included in the first annual payment?

A) $17,258
B) $232,742
C) $20,000
D) $37,258
E) $25,000