How much interest will accrue on a $40,000 face value,60-day note that bears interest at 9 percent a year?
A) $3,600
B) $1,800
C) $900
D) $600

Name: How much interest will accrue on a $40,000 face value,60-day note that bears interest at 9 percent a year? A) $3,600 B) $1,800 C) $900 D) $600
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Quizplus · Accepted Answer

The interest is calculated using the formula: Interest = Principal x Rate x Time. Here, Principal = $40,000, Rate = 9% per annum, and Time = 60/365 years. So, Interest = $40,000 x 0.09 x (60/365) = $600.

How Much Interest Will Accrue on a $40,000 Face Value,60-Day