date of the note is December 31, 2018, and the principal and interest are due at maturity. F from the bank on discounting the note. (Do not round intermediate calculations. Round y dollar.) Note 1 2 3 4 5 6 Note Face Value $ 60,000 60,000 60,000 95,000 95,000 95,000 Date of Note 3/31/2018 3/31/2018 3/31/2018 6/30/2018 6/30/2018 6/30/2018 Interest Rate Date Discounted 6% 6/30/2018 6% 9/30/2018 6% 9/30/2018 4% 10/31/2018 4% 10/31/2018 4% 11/30/2018 Discount Rate 8% 8% 12% 8% 12% 8% Proceeds Received
date of the note is December 31, 2018, and the principal and interest are due at maturity. F from the bank on discounting the note. (Do not round intermediate calculations. Round y dollar.) Note 1 2 3 4 5 6 Note Face Value $ 60,000 60,000 60,000 95,000 95,000 95,000 Date of Note 3/31/2018 3/31/2018 3/31/2018 6/30/2018 6/30/2018 6/30/2018 Interest Rate Date Discounted 6% 6/30/2018 6% 9/30/2018 6% 9/30/2018 4% 10/31/2018 4% 10/31/2018 4% 11/30/2018 Discount Rate 8% 8% 12% 8% 12% 8% Proceeds Received
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:Descriptors are provided below for six situations involving notes receivable being discounted at a bank. In each case, the maturity
date of the note is December 31, 2018, and the principal and interest are due at maturity. For each, determine the proceeds received
from the bank on discounting the note. (Do not round intermediate calculations. Round your final answers to the nearest whole
dollar.)
Note
1
2
3
4
5
6
Note Face
Value
$
Date of Note
60,000
3/31/2018
60,000
3/31/2018
60,000
3/31/2018
95,000 6/30/2018
95,000 6/30/2018
95,000
6/30/2018
Interest
Rate
Date
Discounted
6%
6/30/2018
6% 9/30/2018
6% 9/30/2018
4% 10/31/2018
4% 10/31/2018
4% 11/30/2018
Discount
Rate
8%
8%
12%
8%
12%
8%
Proceeds
Received
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