Question: Question 3 0 ( 1 point ) On July 1 , Joanne's employer provided her with a $ 9 0 , 0 0 0 loan

Question 30(1 point)
On July 1, Joanne's employer provided her with a $90,000 loan at an annual interest rate of 5%. Assume that the prescribed interest rate was 3% for the year. If Joanne paid $2,250 interest on the loan within 30 days of the calendar year-end but did not pay any principal during the year what is her taxable benefit?
A)0.
B) $2,000.
C) $5,000.
D) $3,000.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!