On June 1,2012,a Company Borrows $100,000 on a 10% Note

question 13

Multiple Choice

On June 1,2012,a company borrows $100,000 on a 10% note due to a bank in one year.What amount of interest expense is reported for the year ending December 31,2012?

• A) $5,000
• B) $5,833
• C) $1,000
• D) $10,000

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Definitions:

Separation Anxiety

A disorder characterized by excessive fear or anxiety about separation from home or an attachment figure.

Emotional Development

The process of learning to recognize, express, and manage emotions from infancy through adulthood.

Pride

A feeling of self-respect and personal worth, often accompanied by satisfaction derived from one's own achievements or the achievements of those with whom one is closely associated.

Humility

A modest or low view of one's own importance that emphasizes the value of others and openness to new perspectives or learning.