Bridgeport Inc. loans money to John Kruk Corporation in the amount of $880,000. Bridgeport accepts an 8% note due in 7 years with interest payable semiannually. After 2 years (and receipt of interest for 2 years), Bridgeport needs money and therefore sells the note to Chicago National Bank, which demands interest on the note of 10% compounded semiannually. What is the amount Bridgeport will receive on the sale of the note? (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.)

Amount received on sale of note

Answer rating: 100% (QA)

To calculate the amount that Bridgeport will receive on the sale of the note to Chicago National Ba... View the full answer