How much interest will accrue on a $20,000 face value,120-day note that bears interest at 9 percent a year?
A) $600
B) $900
C) $1,800
D) $3,600

Name: How much interest will accrue on a $20,000 face value,120-day note that bears interest at 9 percent a year? A) $600 B) $900 C) $1,800 D) $3,600
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Quizplus · Accepted Answer

The interest can be calculated using the formula: Interest = Principal x Rate x Time. Here, Principal = $20,000, Rate = 9% per annum, and Time = 120/365 years. So, Interest = $20,000 x 0.09 x (120/365) = $600.

How Much Interest Will Accrue on a $20,000 Face Value,120-Day