Mickey Sporn took out a loan for $5,880 at the Linville Ridge Bank for 110 days. The bank uses the ordinary method for calculating interest. What rate of interest was charged if the amount of interest was $275? Round to the nearest tenth of a percent.

Q: Can you please explain in detail how to work out this problem?   Lane French had a bad credit rating…

A: Calculate the interest amount as follows: Interest amount = Loan repaid - Loan taken Interest amount…

Q: James Howard owns Howard Auto Sales. He periodically borrows money from Bay City State Bank and…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: Darcy holds a 200 day note from Brenda. This note was given by Brenda to Darcy since the former ow…

A:

Q: John signed a 90-day note with a face value of $6,000 and a discount rate of 14.57%. How much did…

A: Ordinary time means day convention of 360 days. Here, the proceed or amount received from bank is…

Q: James Howard owns Howard Auto Sales. He periodically borrows money from Bay City State Bank and…

A: Interest on note = Notes payable x interest payable x no. of days/365 = 34,560*10%*45/360 = $432

Q: Keith deposits 10,000 into a bank account at time 0. The bank credits interest at an annual nominal…

A: Given: Principal = 10,000 Interest rate annual = i% Semi-annual rate = i%/2 For simplicity let us…

Q: anice Dart signed a 140-day simple discount note at a rate of 9.9% with a maturity value of $82,000.…

A: calculation of Discount on original Note = Maturity value x Interest rate x (No.of days/365) =…

Q: 1. On August 1 you opened a new savings account with a deposit of $1,400. The interest rate paid by…

A: Initial deposit on August 1 is :

Q: Use the ordinary interest method, 360 days, to solve the following word problem. Round to the…

A: Since the maturity value is know which is $27,500 Discount Rate = 16% Made on 15 February Days till…

Q: Wayne signed a $10,000 note at Lynn Bank that charges a 7% discount rate. Use ordinary interest. If…

A: 7% discount rate is for 150 days.  1. To calculate proceeds, deduct interest from signed amount.  2.…

Q: James Howard owns Howard Auto Sales. He periodically borrows money from Bay City State Bank and…

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

Q: Use the ordinary interest method, 360 days, to solve the following word problem. Round to the…

A: Frist we need to calculate the bank discount by using this equation  Bank discount =Maturity…

Q: bank discount and proceeds for these notes. Assume that the notes were discounted on June 10 at a…

A: Notes are issued by the banks on discount and the customer have to pay the face value on the…

Q: Johnny Rockefeller had a bad credit rating and went to a local cash center. He took out a $100.00…

A: The loan amount is $100 The maturity Value is $111.50 The time period is 2 weeks To Find:…

Q: Use the ordinary interest method, 360 days, to solve the fol problem. Round to the nearest cent when…

A: Interest amount on promissory note = note value (principal) x rate x time /100

Q: First National Bank charges 13.4 percent compounded monthly on its business loans. First United Bank…

A: The effective annual rate (EAR) is the annual interest rate that takes into account the effect of…

Q: Assume simple interest and find the rate of interest paid by the bank.

A: The amount deposited in the bank is $6,400. The amount received is $6,453.33 The interest paid by…

Q: Paul and Sandy Moede signed an $8,600 note at Citizen's Bank. Citizen's charges a 4.5% discount…

A: Effective rate of interest refers to the interest rate charged by the lender by the borrower on the…

Q: A person has some money in his/her checking account (say $100) and five transactions each of 10, 20…

A: As per withdraw & deposit methods synchronization helps to establish a lock to the object and…

Q: Karen's Katering borrows $5,500, at 8.5% interest, for 220 days. If the bank uses the exact interest…

A: The objective of the question is to calculate the exact interest that the bank will collect on a…

Q: You took a $300 cash advance by using checks linked to your credit card account. The bank charges…

A: Given, Cash received as advance = $300 Bank charges = 1% on cash advance APR = 20%

Q: Use the ordinary interest method, 360 days, to solve the following word problem. Round to the…

A: The promissory note is a legal instrument that is written by one party to another by making a…

Q: Odom Company received from a customer a one-year, 250,000 note bearing annual interest of 8%. After…

A: Notes receivable are considered assets that are receivable after a certain period. It is generated…

Q: What would Jerrod's finance charges be for the month?

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Q: James Howard owns Howard Auto Sales. He periodically borrows money from Bay City State Bank and…

A: The journal entries are prepared to record daily transactions of the business.

Q: Karen's Katering borrows $5,500 at 8.5% interest for 280 days. If the bank uses the exact interest…

A: Given data; Borrowed amount = $ 5,500 interest rate = 8.5% number of days of borrowing = 280 days

Q: Assume that Louisa carried an average balance of $1,000 from her credit card purchases over the past…

A: Interest charges are the amount of cost and charges paid for the amount borrowed either for personal…

Q: Tri State Bank was the payee of a $60,000 note dated August 16. The note was made for 120 days and…

A: Since, note is a discount note( not interest bearing), the value of loan = discounted present Value…

Q: Paul and Sandy Moede signed an $8000 note at Citizen's Bank. Citizen's charges a 6.50% discount…

A: Computation of effective rate of interest:Hence, the effective rate of interest is 6.87%.

Q: Paul and Sandy Moede signed an $8,100 note at Citizen's Bank. Citizen's charges a 6.4% discount…

A: A note is a debt instrument where the borrowing party promises to pay back the face value of the…

Q: James Howard owns Howard Auto Sales. He periodically borrows money from Bay City State Bank and…

A: Interest on notes = face value of notes x rate of interest x no. Of days/360 = 37440*8%*30/360 =…

Q: James Howard owns Howard Auto Sales. He periodically borrows money from Bay City State Bank and…

A: Interest on note = Notes x interest rate x no. of days/365 = (30000-4000)*10%*30/360 = $217

Q: Mr. Navarro received a loan with maturity value of 811,000 at a discount rate of 11.22 % for 11…

A: Formulas. 1. Bank discount = (Maturity value × discount rate × time period.) ÷ 12. 2 . Proceeds  =…

Q: Joseph Simpson, a student at State College, has an average balance of $250 on his retail charge…

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Q: You are the loan department supervisor for a bank. This installment loan is being paid off early,…

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Q: Mr. VanJergen's credit card uses the average daily balance method for calculating interest. His…

A: For the purpose of calculating the finance charge on the credit card, there are different…

Q: Use the ordinary interest method, 360 days, to solve the following word problems. Round to the…

A: Discounted notes are issued at a discount to the face value and the discount depends on the interest…

Q: Mike Drago took out a for $3,900 at the Gold Coast Bank for 270 days. If the bank uses the ordinary…

A: Rate of Interest = Amount of Interest / (Principal * time)

Q: A man has a simple discount note for $6,100, at an ordinary bank discount rate of 8.53%, for 60…

A: Discount rate is 8.53% Time period 60 days Face value of note is $6,100 To Find: Effective interest…