Ben Inc. recently signed a $350,000, six-month note on August 22, 2013. The interest rate is 6.5%. How much total interest will be due on the note at maturity?
A)$9,479
B)$22,750
C)$11,375
D)$7,583

Question

Quizplus · Accepted Answer

First, we need to calculate the interest for one month:
$350,000 x 6.5% = $22,750
Then, we multiply by six months to find the total interest due at maturity:
$22,750 x 6 = $136,500
Therefore, the correct answer is C) $11,375.

Ben Inc Recently Signed a $350,000, Six-Month Note on August 22