Assume that $ 6,000 cash is borrowed on a $ 6,000, 10%, one- year note payable that

Question:

Assume that $ 6,000 cash is borrowed on a $ 6,000, 10%, one- year note payable that is interest bearing and that another $ 6,000 cash is borrowed on a $ 6,600 one- year note that is non– interest bearing. For each note, give the following:
(a) Face amount of the note,
(b) Principal amount,
(c) amount, and
(d) Total interest paid. The market interest rate is 10%.

Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...