Valley Spa purchased $7,800 in plumbing components from Tubman Co.Valley Spa Studios signed a 60-day,10% promissory note for $7,800.If the note is dishonored,what is the amount due on the note? (Use 360 days a year.)

A) $130
B) $7,800
C) $7,930
D) $8,050
E) $8,130

Question

Kylah Essex · Accepted Answer

Final Answer : C, Explanation :  The amount due on the note if it is dishonored includes the principal plus the interest. The interest can be calculated as Principal * Rate * Time = $7,800 * 10% * (60/360) = $130. Therefore, the total amount due is the principal ($7,800) plus the interest ($130), which equals $7,930.

Valley Spa purchased $7,800 in plumbing components from Tubman Co.Valley Spa Studios signed a 60-day,10% promissory note for $7,800.If the note is dishonored,what is the amount due on the note? (Use 360 days a year.)

A) $130
B) $7,800
C) $7,930
D) $8,050
E) $8,130

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Valley Spa purchased $7,800 in plumbing components from Tubman Co.Valley Spa Studios signed a 60-day,10% promissory note for $7,800.If the note is dishonored,what is the amount due on the note? (Use 360 days a year.) A) $130B) $7,800C) $7,930D) $8,050E) $8,130

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Learning Objectives

Learning Objectives

Related questions

Valley Spa purchased $7,800 in plumbing components from Tubman Co.Valley Spa Studios signed a 60-day,10% promissory note for $7,800.If the note is dishonored,what is the amount due on the note? (Use 360 days a year.)

A) $130
B) $7,800
C) $7,930
D) $8,050
E) $8,130