Your firm sells goods to its customers on a note basis with 15% credit terms and interest payable at the end of each year. All notes are due in 3 years. Your firm makes the following sales on September 1, 2022: Note Maturity Cash interest due Interest rate Buyer A $ 2,500,000 Annual 15% Buyer B $ 2,500,000 No payment Negotiated To encourage sales, Buyer B was given a special deal on interest. Additional information: Present value of $2,500,000 for 3 years (annual interest) is $1,643,790.

What amount will your firm use to record the sale to Buyer A and Buyer B, respectively? A. $1,643,790; $2,500,000

B. $833,333; $547,930

C. $7,500,000; $4,931,370

D. $375,000; $246,568

E. $2,500,000; $1,643,790