Assuming 360 days per year, the interest on a $16,000, 4%, 100-day note receivable is: a. $640 b. $178 c. $16,178 d. $16,640

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter12: Current Liabilities
Section: Chapter Questions
Problem 15MC: Marathon Peanuts converts a $130,000 account payable into a short-term note payable, with an annual...
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Provide correct answer general accounting

Assuming 360 days per year, the interest on a
$16,000, 4%, 100-day note receivable is:
a. $640
b. $178
c. $16,178
d. $16,640
Transcribed Image Text:Assuming 360 days per year, the interest on a $16,000, 4%, 100-day note receivable is: a. $640 b. $178 c. $16,178 d. $16,640
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