For an 8.0% annual yield on a monthly mortgage:

• Monthly rate $r = 8\%/12 = 0.6667\% = 0.0066667$
• Term $n = 360$
• Principal $PV = 100{,}000$

First compute the monthly payment:

$$PMT = 100{,}000 \cdot \frac{0.0066667(1.0066667)^{360}}{(1.0066667)^{360}-1} \approx 733.76$$

Then compute the balance after 2 payments:

$$B_2 = PV(1+r)^2 - PMT\left(\frac{(1+r)^2 - 1}{r}\right)$$

Substituting the values gives a remaining balance of approximately $99,865.

So the correct answer is B.