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Ainat [17]
3 years ago
11

Assuming a 360 day year, the interest charged by the bank at the rate of 6%, on a 90 day discounted note payable of 100,000 is:_

______.A. $6,000 B. $1,500 C. $ 500 D. $ 3,000
Business
1 answer:
Readme [11.4K]3 years ago
4 0

Answer:B. $1,500

Explanation:

Interest revenue is  money earned when an entity or individual  loans   money to another.  it can also be regarded as money accrued  from investments. IT is calculated as  

Interest Revenue = Principal x Rate x Time

= $100,000 x 6%  x 90/360

= $100,000 x 0.06 x 0.25

= $1,500

Therefore the interest charge by the bank is $1500.

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