On December 31, 2025, Concord Company signed a $1,101,300 note to Marigold Bank. The market interest rate at that time was 11%. The stated interest rate on the note was 9%, payable annually. The note matures in 5 years. Unfortunately, because of lower sales, Concords financial situation worsened. On December 31, 2027, Marigold Bank determined that it was probable that the company would pay back only $660,780 of the principal at maturity. However, it was considered likely that interest would continue to be paid, based on the $1,101,300 loan.

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