A note that is dated January 1st with a face value of P5000 comes due on March 15th with interest at 10%. If the owner of the note sells it on February 15th to a bank, which discounts the note at a discount rate of 12% - how much money does the bank pay on Feb 15th?

A note that is dated January 1st with a face value of P5000 comes due on March 15th with interest at 10%. If the owner of the note sells it on February 15th to a bank, which discounts the note at a discount rate of 12% - how much money does the bank pay on Feb 15th?

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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