On 1 November, Year 1, Noble Co. borrowed $80,000 from South Bank and signed a 12% (annual rate), six-month note payable, all due at maturity. How much must Noble pay South Bank on 1 May, Year 2, when the note matures?

Select one:

a. $82,400.

b. $89,600.

c. $80,000.

d. $84,800.