Question 5 A customer charges a treadmill at Sports Equipment Shop. The price is $5,000 and the financing charge is 6% per annum if the bill is not paid in 30 days. The customer fails to pay the bill within 30 days and a finance charge is added to the customer's account. What is the amount of the finance charge? A multiple-choice question with one possible answer.(Required) 1. O $300 2.0 $9 3.0 $25 4.0 $90 Question 6 Which of the following practices by a credit card company results in lower interest charges to the cardholder? A multiple-choice question with one possible answer.(Required) 1. The card company calculates finance charges from the date of purchase to the date the amount is paid 2.0 The card company states interest as a monthly percentage rather than an annual percentage 3.0 The card company allows cardholders to skip payments on their cards. 4. The card company allows a period of 25-30 days before interest is accrued. Question 7 If a department store fails to make the entry to accrue the finance charges due from customers, A multiple-choice question with one possible answer.(Required) 1. O accounts receivable will be overstated. 2.0 interest expense will be overstated. 3.0 interest expense will be understated. 4.0 interest revenue will be understated. Question 8 Using the percentage-of-receivables method for recording bad debt expense, estimated uncollectible accounts are $12,000. If the balance of the Allowance for Doubtful Accounts is $2,500 credit before adjustment, what is the amount of bad debt expense for that period? A multiple-choice question with one possible answer.(Required) 1. O $2,500 2.0 $9,500 3.0 $12,000 40 $14,500