On 1 January, Ajax Company Accepted a One- Year Bill

question 31

Multiple Choice

On 1 January, Ajax Company accepted a one- year bill for $5 000 at 4% from one of its customers. When the bill matured on 31 December, the customer was unable to pay, and Ajax treated it as a dishonoured bill. How much interest revenue did Ajax record at 31 December?

• A)$0
• B)$24
• C)$200
• D)$800

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Definitions:

Participant Observation Research

A qualitative research method in which the researcher immerses themselves in the community or group being studied, observing and participating in activities to gather data.

Historical Research

The study and analysis of past events and their impact on the present and future through the examination of historical records and artifacts.

Role-taking

The process of assuming the perspective of another person, to understand their thoughts, feelings, and behaviors, facilitating empathy and social interaction.

Socialization

The process through which people learn the expectations of society.