Upton Company Obtained an $80,000 Line of Credit from the Key

question 76

Multiple Choice

Upton Company obtained an $80,000 line of credit from the Key State Bank on January 1,2012.The company agreed to accept a variable interest rate that was set at 2% above the bank's prime lending rate.The bank's prime rate of interest and the amounts borrowed or repaid during the first three months of 2012 are shown in the following table.Assume that Upton borrows or repays on the first day of each month.Borrowing is shown as a positive amount and repayments are shown as negative amounts indicated by parentheses. The amount of interest expense recognized in March,rounded to the nearest dollar,would be:

• A) $116.
• B) $131.
• C) $146.
• D) $204.

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Definitions:

Temperament

Inherent aspects of an individual's personality, such as their tendency towards moodiness or calmness, which are often evident from infancy.

Evolutionary Theories

Theories that explain various psychological traits, behaviors, and mental processes as adaptations or functions of natural selection and evolutionary history.

Environmental Stimuli

External factors or conditions that can elicit a response from organisms, ranging from temperature changes to social interactions.

James-Lange Theory

A theory of emotion that suggests emotions occur as a result of physiological reactions to events, rather than being the cause of physiological reactions.