Asked by Jackson Willis on Jun 01, 2024
Verified
The interest on a $9000 6% 1-year note receivable is
A) $540.
B) $9000.
C) $9054.
D) $9540.
Interest
The cost of borrowing money or the payment received for the investment of money, typically expressed as a percentage of the principal.
- Determine the interest amount on receivable promissory notes.
Verified Answer
AM
aaliyah mogajiJun 02, 2024
Final Answer :
A
Explanation :
To calculate interest on a note receivable, we use the formula: Interest = Principal x Rate x Time.
So, in this case, Interest = $9000 x 0.06 x 1 year = $540. Therefore, the answer is A, $540.
So, in this case, Interest = $9000 x 0.06 x 1 year = $540. Therefore, the answer is A, $540.
Learning Objectives
- Determine the interest amount on receivable promissory notes.
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