The total amount of interest expense over the life of a note is:
A) The face value times the face interest rate times the number of interest payments over the life of the note.
B) The face value of the note times the market interest rate times the number of interest payments over the life of the note.
C) The total of the cash outflows of the note over the life of the note less the proceeds of the note.
D) The proceeds of the note plus the cash interest paid less the maturity value of the note.
Correct Answer:
Verified
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