An Installment Note Payable for a Principal Amount of $94,000

question 57

Multiple Choice

An installment note payable for a principal amount of $94,000 at 6% interest requires Lawson Company to repay the principal and interest in equal annual payments of $22,315 beginning December 31, 2014, for each of the next five years. After the final payment, the carrying amount on the note will be

• A) $ 1,263
• B) $21,053
• C) $22,315
• D) $ 0

---

Definitions:

Dynamic Systems Theory

A theory that addresses how new, complex systems of behavior develop from the interaction of less complex parts.

Complex Systems

Systems composed of many components which may interact with each other in multiple ways, leading to emergent behavior that cannot be predicted from the behavior of the individual components.

Interaction

The reciprocal action or influence between entities, objects, or individuals, highlighting how they affect each other.

Information-Processing Theorists

Scholars who study how human beings process information, including the ways in which they perceive, analyze, manipulate, store, and retrieve information.