Calculate amount of interest expense related to loan

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Reference no: EM13747021

Franklin Co. borrowed $40,000 from a bank on September 30, 2007 and agreed to pay it back in eight months at an interest rate of 15% per year.

Calculate the amount of interest expense related to this loan reported in Franklin Co.'s 2008 income statement. Do not use decimals in your answer.

Reference no: EM13747021

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