Question: 5. Hens and Turtles Inc. issues a $1 million, 7% mortgage note payable on January 1, 2020. The note will be paid in annual

5. Hens and Turtles Inc. issues a $1 million, 7% mortgage note payable on January 1, 2020. The note will be paid in annual blended payments of principal and interest of $140,000 at the end of each year. What amount of interest expense should be recognized in the second year? a. $35,000. b. $65,100. c. $32,550. d. $70,000.

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