Use the Following Information to Answer Questions

Multiple Choice

Use the following information to answer questions
The Niven Law Firm signed a $25,000, 120-day, 10% note payable to Eastlake Bank on October 15, 2010.
-Assuming a 360-day calendar year, how much interest expense relative to this note should Niven recognize in 2011? (Round to the nearest cent.)

A) $ 298.61
B) $ 305.55
C) $ 833.33
D) $2,500.00
E) none of the above