Santana Rey created Business Solutions on October 1, 2015. The company has been successful, and Santana plans to expand her business. She believes that an additional $96,000 is needed and is investigating three funding sources.

a.	Santanas sister Cicely is willing to invest $96,000 in the business as a common shareholder. Since Santana currently has about $144,000 invested in the business, Cicelys investment will mean that Santana will maintain about 60% ownership, and Cicely will have 40% ownership of Business Solutions.
b.	Santanas uncle Marcello is willing to invest $96,000 in the business as a preferred shareholder. Marcello would purchase 960 shares of $100 par value, 9% preferred stock.
c.	Santanas banker is willing to lend her $96,000 on a 9%, 11-year note payable. She would make monthly payments of $1,148 per month for 11 years.