On March $1,$ Hugh Corporation plans to borrow $$520,000$ from the Scotland State Bank by signing a $12\%,15-$year note payable. The note calls for $180$ monthly payments of $$6,240,$ which includes both interest and principal components.

Hugh's budgeted interest expense for March is:

Multiple Choice

$$347.$

$$5,200$

$$10,400$

$6$

$$6,240.$