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Face Value |
Interest Rate (%) |
Date of Note |
Term of Note (days) |
Maturity Date |
Maturity Value (in $) |
---|---|---|---|---|---|
$2,200 | 12 | Mar. 7 | 80 | $ | |
Date of Discount |
Discount Period (days) |
Discount Rate (%) |
Proceeds (in $) |
||
Apr. 15 | 19 | $ |
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- A company collects an honored note with a maturity date of 24 months from establishment, a 10% interest rate, and an initial loan amount of $30,000. Which accounts are used to record collection of the honored note at maturity date? A. Interest Revenue, Interest Expense, Cash B. Interest Receivable, Cash, Notes Receivable C. Interest Revenue, Interest Receivable, Cash, Notes Receivable D. Notes Receivable, Interest Revenue, Cash, Interest ExpenseThe following interest-bearing promissory note was discounted at a bank by the payee before maturity. Use the ordinary interest method, 360 days, to calculate the missing information. (Round dollars to the nearest cent.) FaceValue InterestRate (%) Date ofNote Term ofNote (days) MaturityDate MaturityValue(in $) $650 16 1 2 June 4 135 $ Date ofDiscount DiscountPeriod (days) DiscountRate (%) Proceeds(in $) Sept. 9 19.5 $The following interest-bearing promissory note was discounted at a bank by the payee before maturity. Use the ordinary interest method, 360 days, to calculate the missing information. (Round dollars to the nearest cent.)FaceValue Interest Rate (%) Date of Note Term of Note (days) Maturity Date Maturity Value (in $)$1,220 7.4 Sept. 18 130 ???? ???? Date of Discount Discount Period (days) Discount Rate (%) Proceeds (in $)Dec. 11 ??? 11.6 ???
- The following interest-bearing promissory note was discounted at a bank by the payee before maturity. Use the ordinary interest method, 360 days, to calculate the missing information. (Round dollars to the nearest cent.) FaceValue InterestRate (%) Date ofNote Term ofNote (days) MaturityDate MaturityValue(in $) $1,210 7.1 Sept. 15 130 ---Select--- January February March April May June July August September October November December $ Date ofDiscount DiscountPeriod (days) DiscountRate (%) Proceeds(in $) Dec. 8 11.9The following interest-bearing promissory note was discounted at a bank by the payee before maturity. Use the ordinary interest method, 360 days, to calculate the missing information. (Round dollars to the nearest cent.)Using ordinary interest, 360 days, calculate the missing information for the simple discount note. (Round dollars to the nearest cent.) FaceValue DiscountRate (%) Date ofNote Term(days) MaturityDate Bank Discount(in $) Proceeds(in $) $700 12.2 Sept. 4 107 $ $
- the following interest bearing promissory note was discounted at a bank by the oayee before maturity. use the ordinary interest method 360 days to calculate the missing information. round dollars to the nearest cent.Wenzy Company discounted its own ₱250,000 one-year note at a bank, at a discount rate of 12% when the prime rate was 10% Based on the above data, answer the following: 1. In reporting the note in Wenzy’s statement of financial position prior to maturity, what rate should Wenzy use for the recording of interest expense? a. 10.0% c.12.0% b. 10.7% d.13.6% 2. The journal entry to record the transaction will include a a. Debit to Cash ₱250,000 b. Debit to Cash for ₱220,000 c. Debit to Discount on notes payable ₱40,000 d. Credit to Notes payable, ₱220,000Using ordinary interest, 360 days, calculate the missing information for the simple discount note. (Round dollars to the nearest cent.) FaceValue DiscountRate (%) Date ofNote Term(days) MaturityDate Bank Discount(in $) Proceeds(in $) $19,200 10 June 7 80 ---Select--- January February March April May June July August September October November December $ $
- Descriptors are provided below for six situations involving notes receivable being discounted at a bank. In each case, the maturity date of the note is December 31, 2024, and the principal and interest are due at maturity. For each situation, determine the proceeds received from the bank on discounting the note. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar. 1. $ 60,000 3/31/2024 6% 6/30/2024 8% _____ 2. 60,000 3/31/2024 6% 9/30/2024 8% _____ 3. 60,000 3/31/2024 6% 9/30/2024 12% ______ 4. 85,000 6/30/2024 4% 10/31/2024 8% ______ 5. 85,000 6/30/2024 4% 10/31/2024 12% _____ 6. 85,000 6/30/2024 4% 11/30/2024 8% ______The notes receivable account of Caimito, Inc. consisted of the following: 1. 60-day note of P10,000 dated May 15 with a 9% interest rate, discounted at the bank on June 8 at 12%. 2. 120-day note of P100,000 (face amount) dated October 1 with no stated interest rate and a market rate of 9% interest, discounted at the bank on November 30 at 12%. This note was received from the sale of equipment. The proceeds from discounting of the 60-day note amount to: A. 10,150 B. 10,000 C. 10,028 D. 10,059Assuming a 360-day year, the interest charged by the bank, at the rate of 6%, on a 90-day, discounted note payable of $118,291 is Select the correct answer. $7,097 $1,774 $118,291 $3,549