On November 1,2012,EZ Products Borrowed $48,000 on a 5%,10-Year Note

question 47

Multiple Choice

On November 1,2012,EZ Products borrowed $48,000 on a 5%,10-year note with annual installment payments of $4,800 plus interest due on November 1 of each succeeding year.
-How much interest expense should be accrued at December 31,2012 for the period of November 1 through year-end?

• A) $1,200
• B) $2,400
• C) $400
• D) $200

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Definitions:

Execution Phase

The stage in a project or process where the plans are put into action and the work required is performed.

Procurement

Procurement is the process of obtaining goods, services, or works from external sources, often through bidding or tender processes.

Identified Risks

Potential events or conditions that could negatively impact a project or business operation, which have been recognized and assessed for their impact and likelihood.

Project Risk

Potential events or conditions that can negatively impact the outcome of a project, including delays, cost overruns, and scope changes.