The total interest owing on a $10,000, 6%, 6-month note receivable is
A)$50.
B)$100.
C)$300.
D)$600.

Name: The total interest owing on a $10,000, 6%, 6-month note receivable is A)$50. B)$100. C)$300. D)$600.
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Question

Quizplus · Accepted Answer

The interest on a note receivable is calculated using the formula: Interest = Principal × Rate × Time. Here, Principal = $10,000, Rate = 6% (or 0.06 as a decimal), and Time = 6 months (or 0.5 years when converted to years). Thus, Interest = $10,000 × 0.06 × 0.5 = $300.

The Total Interest Owing on a $10,000, 6%, 6-Month Note