On June 1, 2020, Carr Corp

question 18

Multiple Choice

On June 1, 2020, Carr Corp. loaned Farr Corp. $ 600,000 on a 5% note, payable in five annual instalments of $ 120,000 (plus interest) , beginning January 2, 2021. Interest on the note is payable on the first day of each month beginning July 1, 2020. Farr made timely payments through November 1, 2020. On January 2, 2021, Carr received payment of the first principal instalment plus all interest due. At December 31, 2020, Carr's interest receivable on this loan is

• A) $ 0.
• B) $ 2,500.
• C) $ 5,000.
• D) $ 7,500.

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Definitions:

Salicylic Acid

A beta hydroxy acid used in skincare and medicine, known for its role in treating acne, reducing inflammation, and exfoliating the skin.

Plant Hormone

Extracellular signaling molecule of plants; exerts an effect on target cells at very low concentration. E.g., auxin, gibberellin.

Double Fertilization

Fertilization as it occurs in flowering plants; one sperm cell fuses with an egg, and a second sperm cell fuses with the endosperm mother cell.

Zygote

The cell formed by the fusion of two gametes; the earliest stage of embryonic development in sexually reproducing organisms.