Do Mormons Believe in Heaven?

"The 'heaven' the Mormon looks to and lives for is a real place of eternal progress, with endless association with loved ones, with families and friends. For those who are willfully indifferent to their opportunities on earth, the knowledge that they have fallen short of their highest possible happiness will be part of the penalty of the "hell" hereafter."

Religions in America, p.136

Eternal Progress (an explanation of how the redeemed are said to become gods)

"Then shall they be 'gods,' because they have no end; therefore shall they be from everlasting to everlasting, because they continue; then shall they be above all, because 'all things' are subject to them. Then shall they be gods, because they have all power, and the angels are subject unto them.

Doctrine and Covenants, 132:20