Mindy still owes $25,000 on her home loan. However, she called her loan provider and they informed her that if she were to pay her home loan off today, she would pay $18,500 because she wouldn’t have to pay interest for the remainder of the loan. What amount should be recorded in the liabilities section of her Statement of Financial Position?

Question

04-03-2021
Business

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Mindy still owes $25,000 on her home loan. However, she called her loan provider and they informed her that if she were to pay her home loan off today, she would pay $18,500 because she wouldn’t have to pay interest for the remainder of the loan. What amount should be recorded in the liabilities section of her Statement of Financial Position?

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