FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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- Maturity Dates of Notes PayableDetermine the maturity date and compute the interest for each of the following notes payable with add-on interest:Use 360 days for calculations and round to the nearest dollar. Date of note Principal Interest Rate (%) Term a. August 5 $17,000 8% 120 days b. May 10 10,400 7% 90 days c. October 20 14,000 9% 60days d. July 6 6,500 10% 75 days e. September 15 15,500 8% 75 days For the maturity date, select the appropriate month using the drop-down menu and enter the correct day next to the month using the fill-in the blank answer box. Maturity Date Interest a. Answer Answer Answer b. Answer Answer Answer c. Answer Answer Answer d. Answer Answer Answer e. Answer Answer Answerarrow_forwardThe interest on a $3,000, 10%, 180-day note receivable is (assume 360 days per year) O $150 O $3.300 O $300 $3000 Onmi ERCO DUTOarrow_forwardThe face value of a nine-month, 6.1% note dated April 30, 2006, is $589.09. Determine each of the items listed below. Ignore any grace period. (a) the legal due date (c) the amount of interest (b) the interest period (in days) (d) the maturity value (a) The legal due date isarrow_forward
- How do I find the maturity value and maturity date of an interest-bearing promissory note that has a face value of $1,270? Interest rate percent of 7.1 and term of note 130 days?arrow_forwardOn a 365-day basis, what is the effective annual rate of using trade credit if terms are 2/10, net 30, and payment is made on the twentieth day? * a.104% b.109% c.10% d.2.04% e.1.09%arrow_forwardWhat is the Effective Annual Rate (EAR) on a deposit account with a stated Annual Percentage Rate (APR) of 10.6% and monthly compounding? Enter your answer as a percentage rounded to 2 decimal placesarrow_forward
- Assuming a 360-day year, when a $11,392, 90-day, 10% interest-bearing note payable matures, total payment will be a. $11,677 Ob. $12,531 Oc. $1,139 Od. $285 That's Built PlueAarrow_forwardThe face value of a ten month, 7.3% note dated February 28, 2006, is $1419 85 Determine each of the tems isted below Ignore any grace period (a) the legal due dato (b) the interest period (in days) (c) the amount of interest (d) the maturity value (a) The legal due date is February 28 2006 (b) The interest period is 304 days. (Type a whole number.) (e) The amount of interest is payable is S (Round the final answer to the nearest cent as needed. Round al intermediate values to sox decimal places as needed) (d) The maturity value of the note is (Round the final answer to the nearest cent as needed Round all intermediate values to sox decimal places as needed)arrow_forward6) A company receives a 5%, 90-day note for $5,400. The total interest due on the maturity date is: (Use 360 days a year.) A) $67.50. B) $270.00. C) $157.50. D) $135.00. E) $90.00.arrow_forward
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