For a five-year installment note signed on January 1,2016,at which of the following dates would the carrying value be the highest?

Question

Quizplus · Accepted Answer

The carrying value of an installment note is highest at the beginning of the loan term because it decreases over time as payments are made. Since August 1, 2016, is the earliest date listed after the note was signed on January 1, 2016, it would have the highest carrying value compared to the later dates.

For a Five-Year Installment Note Signed on January 1,2016,at Which