True or False.

1. Unearned revenues are current liabilities until they are earned.

Multiple Choice

2. Fleetwood, Inc. signed a oneyear note payable for $48,000 at 7% annual interest. What is the interest expense for 2025 if the note was signed on August 1, 2025? (Do not round any intermediate calculations, and round your final answer to the nearest dollar.)

A. $1,400

B. $10,080

C. $3,360

D. $1,680