Final answer:
The total interest due on the maturity date for a $16,000 promissory note at 12% over 180 days is $960.00.
Step-by-step explanation:
To calculate the total interest due on the maturity date for a promissory note using simple interest, use the formula Interest = Principal × Rate × Time. In this case, the principal is $16,000, the annual interest rate is 12% (or 0.12 as a decimal), and the time is 180 days out of 360 (which simplifies to 0.5 years).
Plugging the values into the formula we get:
Interest = $16,000 × 0.12 × 0.5 = $960.00
The total interest due on the maturity date of the promissory note is therefore $960.00.