Using a 360-day year, the maturity value of a 90-day note for $42,000 at 8% annual interest is:

A) $45,360.00.
B) $3,360.00.
C) $42,840.00.
D) $42,000.00.


C) $42,840.00.
Explanation: note amount plus interest (principle × rate × time); ex: $45,360.00 + ($45,360.00 × 8% × 90/360) = $42,840.00.

Business

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