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roblem Solving. A promissory note which is dated January 1, 20A was received from a client for merchandise delivered by the ML Company for P220,000. Its term is 120 days and carries with it an 8% interest. On March 1 20A, due to financial turmoil, ML company immediately have it discounted to a GG Financial Provider even at 13% discount. Compute the amount proceeds if the discounting arrangement is a secured borrowing. Assume 30 days a month. Round off final answer to the nearest peso.

roblem Solving. A promissory note which is dated January 1, 20A was received from a client for merchandise delivered by the ML Company for P220,000. Its term is 120 days and carries with it an 8% interest. On March 1 20A, due to financial turmoil, ML company immediately have it discounted to a GG Financial Provider even at 13% discount. Compute the amount proceeds if the discounting arrangement is a secured borrowing. Assume 30 days a month. Round off final answer to the nearest peso.

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 14RE: On June 1, Phillips Corporation sold, with recourse, a note receivable from a customer to a bank....
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8. Problem Solving. A promissory note which is dated January 1, 20A was received from a client for merchandise delivered by the ML Company for P220,000. Its term is 120 days and carries with it an 8% interest. On March 1 20A, due to financial turmoil, ML company immediately have it discounted to a GG Financial Provider even at 13% discount. Compute the amount proceeds if the discounting arrangement is a secured borrowing. Assume 30 days a month. Round off final answer to the nearest peso.

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