Use the ordinary interest method, 360 days, to solve the following word problem. Round to the nearest cent when necessary. Roni Lockard signed a $27,500 simple discount promissory note at a certain bank. The discount rate was 16%, and the note was made on February 15 (not in a leap-year) for 119 days. (a) What proceeds (in $) will Roni receive on the note?

Use the ordinary interest method, 360 days, to solve the following word problem. Round to the nearest cent when necessary. Roni Lockard signed a $27,500 simple discount promissory note at a certain bank. The discount rate was 16%, and the note was made on February 15 (not in a leap-year) for 119 days. (a) What proceeds (in $) will Roni receive on the note?

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

ChapterD: Notes Payable And Notes Receivable

Section: Chapter Questions

Problem 2P

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