A $45,000,two-Month,7% Note Payable Was Issued on December 1,2016

question 140

Multiple Choice

A $45,000,two-month,7% note payable was issued on December 1,2016.What is the amount of interest expense recorded in the year 2017?

• A)$3,150
• B)$263
• C)$525
• D)$45,525

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Definitions:

Calcium

A chemical element, symbol Ca, essential for living organisms, particularly in cell physiology and bone formation.

Humerus

The humerus is the long bone in the upper arm, extending from the shoulder to the elbow.

Tibia

A large bone located in the lower leg, between the knee and the ankle, parallel to the fibula.

Ulna

One of the two long bones in the forearm, located on the side opposite the thumb and running parallel to the radius.