On July 1, 2018, Markwell Company acquired equipment. Markwell paid $160,000 in cash on July 1, 2018, and signed a $640,000 non-interest bearing note for the remaining balance which is due on July 1, 2019. An interest rate of 5% reflects the time value of money for this type of loan agreement.

For what amount will Marwell record the purchase of equipment?

A. $761,905

B. $ 769,523

C. $609,523

D. $800,000