Suppose the person holding the promissory note from the above problem sells the note after 80 days (40 days of discounting). Find the discount amount if the note is discounted at 10%.
Question 11
Find the proceeds from the above problem.
Question 12
A bank makes a new loan of $15,000 face value at a discount rate of 8% for 6 months. Find the proceeds. Type your answer
Question 13
Find the actual interest rate for the situation in Problem #12.
Question 14
Your savings account has a balance of $3,750. After 2 years, what will the interest amount be if the rate is 6% per year and the interest is compounded monthly. Use the future value factor. Type your answer
Question 18
Find the present value of $1,600 at 6% compounded monthly for 4 years. Use the present value factor table. Type your answer
Question 19
If you borrow $25,500 for 18 months at the rate of 9% compounded monthly, how much must you repay at the end of the 18 months? Type your answer
Question 20
How much money would you need to deposit today in order to have $10,000 in your account in 3 years? Interest is computed quarterly and the interest rate is 6%. Type your answer
Question 9
Find the maturity value of a promissory note of $6,000 at 6% interest for 120 days. Use a 360-day year. Type your answer
