The amount due on the maturity date of a $6,000, 60-day 4%, note receivable is: (Use 360 days a year.)
A) $6,240.
B) $5,760.
C) $6,000.
D) $6,040.
E) $5,960.

Question

Quizplus · Accepted Answer

The formula to calculate the amount due on the maturity date of a note is:

Face value of the note + (face value of the note x interest rate x time)

In this case:

$6,000 + ($6,000 x 0.04 x (60/360)) = $6,040

Therefore, the answer is (D) $6,040.

The Amount Due on the Maturity Date of a $6,000