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Boyd earned $46,000 of cash revenue during the year. What is the total amount of interest expense paid for the year?

a) $0
b) $3,000
c) $5,000
d) $7,000

User Zimex
by
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1 Answer

1 vote

Final answer:

Without further financial details on Boyd's debts and interest rates, it is impossible to determine the total amount of interest expense paid during the year from the provided options.

Step-by-step explanation:

The total amount of interest expense paid for the year can be calculated using the formula:

Interest Expense = Revenue * Interest Rate

Since the question does not provide the interest rate or any information about interest expenses, we cannot determine the total amount of interest expense paid for the year. Therefore, the correct answer is option a) $0.

The question does not provide enough information to determine the total amount of interest expense paid during the year by Boyd. Information provided about cash revenue does not relate to interest expenses unless further details are given about debts and the corresponding interest rates. It is essential to have the principal amount of debt, the interest rate, and the period over which it is paid to calculate the total interest expense. Therefore, without additional details on Boyd's financial obligations, the answer cannot be determined from the options provided.

User GM GAMER
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