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The following information pertains to the next three questions. On April 1 , Year 1 , Nadler Company issued a $ 5 , 0 0

The following information pertains to the next three questions. On April 1, Year 1, Nadler Company issued a $5,000 note to Morris Company. The note ha d a 12 percent interest rate and was to be repaid, with interest, on April 1, Year 2.9. Assuming no other similar transactions, the total amount of interest revenue that Morris Company recorded in Year 2 would be
a. $1,200.
b. $150.
c. $0.
d. $600.

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