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On November 1, Mead Borrowed from Miller, Giving Him a $6,000

Question 56

Multiple Choice

On November 1, Mead borrowed from Miller, giving him a $6,000, 3 month, 9% note, interest payable at maturity. Mead made no entry after November 1.
On December 31, the end of the accounting period, what is the amount of the interest accrual?


A) $135
B) $ 90
C) $540
D) $ 45
E) None of the above

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