The total amount of the note and interest due on the maturity date of a $6,000,60-day 4%,note receivable is: (Use 360 days a year.)

A) $6,000.
B) $6,240.
C) $5,760.
D) $6,040.
E) $5,960.

Question

The total amount of the note and interest due on the maturity date of a $6,000,60-day 4%,note receivable is: (Use 360 days a year.)A) $6,000.B) $6,240.C) $5,760.D) $6,040.E) $5,960.

Stefy Giles · Accepted Answer

Final Answer : D, Explanation :  The interest on the note can be calculated using the formula: Interest = Principal × Rate × Time. Here, Principal = $6,000, Rate = 4% (or 0.04 as a decimal), and Time = 60/360 (since the interest rate is annual and the year is considered to have 360 days for this calculation). So, Interest = $6,000 × 0.04 × (60/360) = $40. The total amount due on the maturity date is the sum of the principal and the interest, which is $6,000 + $40 = $6,040.

The total amount of the note and interest due on the maturity date of a $6,000,60-day 4%,note receivable is: (Use 360 days a year.)

A) $6,000.
B) $6,240.
C) $5,760.
D) $6,040.
E) $5,960.

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Learning Objectives

Related questions

The total amount of the note and interest due on the maturity date of a $6,000,60-day 4%,note receivable is: (Use 360 days a year.) A) $6,000.B) $6,240.C) $5,760.D) $6,040.E) $5,960.

Definitions

Learning Objectives

Learning Objectives

Related questions

The total amount of the note and interest due on the maturity date of a $6,000,60-day 4%,note receivable is: (Use 360 days a year.)

A) $6,000.
B) $6,240.
C) $5,760.
D) $6,040.
E) $5,960.