A 100-day note with a face amount of $54,000 and interest rate of 9% is issued on June 1. Required: 1.Compute the following using a 360-day year: a. Maturity value of the note $___________ b. Maturity date ___________ c. Interest $___________ 2.The note is discounted on July 1. The bank discount rate is 12%. Compute the following: a. Number of days in the discount period ___________ b. Discount amount $___________ c. Proceeds $___________
A 100-day note with a face amount of $54,000 and interest rate of 9% is issued on June 1.
Required:
1.Compute the following using a 360-day year: a. Maturity value of the note
$___________
b. Maturity date
___________
c. Interest
$___________
2.The note is discounted on July 1. The bank discount rate is 12%. Compute the following: a. Number of days in the discount period
___________
b. Discount amount
$___________
c. Proceeds
$___________
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