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27 Baker Inc. acquired equipment from the manufacturer on 10/1/2021 and gave a noninterest-bearing note in exchange. Baker is obligated to pay $1,008,000 on 4/1/2022

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Baker Inc. acquired equipment from the manufacturer on 10/1/2021 and gave a noninterest-bearing note in exchange. Baker is obligated to pay $1,008,000 on 4/1/2022 to satisfy the obligation in full. If Baker accrued interest of $18,000 on the note in its 2021 year-end financial statements, what is its imputed annual interest rate? Multiple Choice None of these answer choices are correct. (0) 7.4% O 11.1%. o 3.7%

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