1. What is the maturity date of a loan taken out on May 16, for 53 days? A. June 30 B. July 1     C. July 8 D. August 9

Q: On August 31, 20X6, Kathy Thompson borrowed 53.000 from Danein Interstate Bank. Thompson signed a…

A: Note receivable means where bank has given loan to borrower with specified term regarding time of…

Q: what is the amount (in $) of interest on the loan?

A: Simple interest are calculated on the basis of principal amount of loan. Simple interest does not…

Q: Central Auto Parts borrowed $450,000 at 9% interest on July 13 for 120 days. (a) If the bank uses…

A: When it is required to compute the interest due for a fraction of one year, it is often the practice…

Q: Sylvestor Systems borrows $185,000 cash on May 15 by signing a 150-day, 7%, $185,000 note. 1. On…

A: Journal: Recording of a business transactions in a chronological order.

Q: You have taken a personal loan from Bank Muscat for 15,000 OMR and charged with an interest rate of…

A: Loan Amortization Table  is as under -

Q: The Continental Bank made a loan of $26,000.00 on March 26 to Dr. Hirsch to purchase equipment for…

A:

Q: A 3 year straight note was executed by a buyer. The interest paid over the term was $3,431.70. The…

A: Interest on loan can be calculated as: = Total interest/ number of years * rate of interest  =…

Q: A local business received a $45,000 loan at 4.95% compounded semi-annually. The business settled the…

A: Here, Value of Loan is $45,000 Interest Rate is 4.95% Monthly Payment is $650 Compounding Period is…

Q: Martinez Sporting Goods borrows $4,500, at 5% interest, for 120 days. Use the exact interest method…

A: Interest amount is the fixed amount that the lender will charge for lending some amount for certain…

Q: On May 15, Wild Quest Clothiers borrowed some money on a 4-month note to provide cash during the…

A: Note is a financial instrument which is used to make financial transactions. A note receivable is an…

Q: ABC Company negotiated a $250,000 revolving line of credit with the Bank of Montreal at prime plus…

A: Prime rate: It is the rate that is charged by the commercial banks for loans taken by the most…

Q: 2 The lawyer for a credit union member has sent a cheque for $2062.68 in full settlement of the…

A: Interest rate for six months = 8+2/3% * 6/12 = 8.6666% * 6/12 = 4.3333%

Q: On March 1, Minnerly Motors obtains a business loan from a local bank. Theloan is a $25,000…

A: The formula to compute interest charge as follows:

Q: The Continental Bank made a loan of $21,000.00 on March 4 to Dr. Hirsch to purchase equipment for…

A: Loan Amount  $                                  21,000.00 Loan date 04-03 Interest Rate on 04th…

Q: On July 31, Jackson Paints & Supplies borrowed $147,000 to build a metal building for use as a…

A: The maturity value of the loan is the amount of loan that needs to be paid after adjusting the…

Q: Pendragon Inc. has an operating loan with a balance of $52,000 on September 1 with interest set at…

A: The answer is stated below:

Q: A 3 year straight note was executed by a buyer. The interest paid over the term was $3,431.70. The…

A: Given: Years = 3 Interest paid over term = $3,431.70 Interest rate = 9.3%

Q: e effective rate of interest of the loan?

A: Effective interest rate is calculated as follows; r = (1 + in)n -1 wherer - effective annual ratei -…

Q: What is the maturity date of a loan for $8,000 at 15% exact interest taken out on June 5?

A: Given information is: Loan amount = $8000 Interest rate = 15% Interest amount = $240

Q: xtended a 5,000,000, 10% loan to a borrower. The principal is due in 4 years time but interest is…

A: A financial responsibility might be a contractual obligation to give cash or something comparable to…

Q: Sylvestor Systems borrows $96,000 cash on May 15 by signing a 60-day, 7%, $96,000 note.   1. On what…

A: SOLUTION- 1                                      CALCULATION OF DATE OF MATURE OF NOTE DATE OF…

Q: 1. Meghan Pease purchased a small sailboat for $8,350. She made a down payment of $1,700 and…

A: Finance charges on a loan are the extra amount of cash flow paid by the borrower to the lender in…

Q: The financial officer of Toys and Noise arranges a loan of $8,500, at 8.5% interest, for 35 months.…

A: Simple interest is a quick and easy method of calculating the interest charge on a loan. Simple…

Q: Assume the following information for a car note: Original loan amount = $23,500 Annual interest rate…

A: Calculation of Principal Balance:The principal balance on the loan after six months is…

Q: Sylvestor Systems borrows $146,000 cash on May 15 by signing a 90-day, 7%, $146,000 note. 1. On what…

A: Notes Payable - Notes Payable is the Promissory Notes Issued by the borrower. It carried fixed rate…

Q: A loan of ₱2,000 is made for a period of 13 months, from January 1 to January 31 the following year,…

A: The future amount due at the end of the loan period is the sum of the principal amount and the…

Q: The Mutt Hut Pet Shop borrowed $59,000 on March 1 for 132 days. The rate was 11% using the ordinary…

A: Given information:   Amount borrowed $59,000 Interest rate 11% loan term  132 days First…

Q: On January 2nd, Mobile Sales borrows $20,000 cash on a note payable from Ethical Lenders with terms…

A: No. of days from January 2 to March 31 = 88 days Interest accrued on March 31 = Amount borrowed x…

Q: Anny takes out a loan of $1,400, at 4% interest, for 42 months. Use the formula  MV = P + I  to find…

A: NOTE: Since you have asked multiple questions, we will solve the first question for you. If you want…

Q: At a payday lending company, a loan of $500 will accrue interest as follows: Loan Duration Interest…

A: We have to calculate the annual simple interest rate in the first case, when principal and the…

Q: Simple interest on a loan. A Financiera Popular recently opened in the city, to which Ms. Maru…

A: The question is related calculation of simple interest.  Simple interest = P × r × t  Where  P =…

Q: On November 1, 20X1, Morant Corp. borrowed $80,000 in cash by signing a nine-month, 12% note from a…

A: Notes payable is a form of debt for the business organisations for which it has to pay periodic…

Q: ABC Company negotiated a $250,000 revolving line of credit with the Bank of Montreal at prime plus…

A: Required: Interest charged on July 20th and August 20th. Assumption: There are 365 days in a year.

Q: On June 21, Fat Tires Ltd borrowed $9000.00 with an interest rate of 5.9%. The loan was repaid in…

A: Interest=9000*5.9%14/365+6500*5.9%*35/365+3400*5.9%*62/365 =20.35+36.77+34.07 =91.19

Q: Campus Flights takes out a bank loan in the amount of $300,000 on March 1. The terms of the loan…

A: Loan: A loan is a kind of debt that may be undertaken by a person or by a business. A quantity of…

Q: Sylvestor Systems borrows $69,000 cash on May 15 by signing a 60-day, 8%, $69,000 note. 1. On what…

A: Formula: Interest expense = Notes amount x Time period x Interest rate

Q: Sylvestor Systems borrows $63,000 cash on May 15 by signing a 120-day, 6%, $63,000 note. 1. On what…

A: Introduction: Journal: Recording of a business transactions in a chronological order. First step in…

Q: An automotive dealer borrowed $7100.00 from the Bank of Montreal on a demand note on May 15.…

A: In case of interest calculated on a daily balance, you will have to make a proper track of every…

Q: Sheridan Service has a line of credit loan with the bank. The initial loan balance was $8000.00.…

A: Present Value Future  value of sum of money  are measured  at the current value. It is called…

Q: An automotive dealer borrowed $9200.00 from the Bank of Montreal on a demand note on May 15.…

A: An amortization schedule is a complete table of periodic loan payments, showing the amount of…

Q: A loan for RM6,500 with a simple interest rate of 18% was made on June 15 and due on September 15.…

A: Loan amount (P) = RM6500 Interest rate (r) = 18% Period from June 15 to September 15 (d) = 92 days

Cost of Credit

The cost of credit is an extra amount that the borrower has to pay besides the loan amount. These credit charges may vary from loan to loan. The cost of credit includes interest charges, maintenance charges, and arrangement charges. Some of the costs are mandatorily collected by the lender based on the loan amount and tenure of the loan. The cost of credit is also called finance charges of the credit.