A bank bill with a face value of $250,000 wasissued today and it matures in 60 days' time. Ifinterest rates are 4.5% p.a. what amount ofcash does the issuer receive today?

Present value is referred to as the current value of the future sum of the funds/cash flows stream…

Answered: A bank bill with a face value of…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 21MC: A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an...

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A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an annual interest rate of 11%. If 6 months have passed since note establishment, what would be the recorded interest figure at that time? A. $7,150 B. $65,000 C. $14,300 D. $2,383
You put $600 in the bank for 3 years at 15%. A. If Interest Is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the third year. B. Use the future value of $1 table In Appendix B and verify that your answer is correct.
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A bank bill with a face value of $250,000 was issued today and it matures in 60 days' time. If interest rates are 4.5% p.a. what amount of cash does the issuer receive today?