If the maturity value of an investment which paid 13.9% was $400,000 after 7 months, how much of that amount was interest?
A) $30,001
B) $55,600
C) $32,433
D) $67,888
E) $27,999

Name: If the maturity value of an investment which paid 13.9% was $400,000 after 7 months, how much of that amount was interest? A) $30,001 B) $55,600 C) $32,433 D) $67,888 E) $27,999
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Question

Quizplus · Accepted Answer

The interest is calculated as follows:Interest = Maturity value x Interest rate x TimeInterest = $400,000 x 13.9% x 7/12Interest = $30,001

If the Maturity Value of an Investment Which Paid 13