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, 2024, and the principal and Interest are due at maturity. For each situation, determine the proceeds received from the bank on discounting the note. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar. Note Value Note Face Date of Note Interest Rate Date Discounted Discount Proceeds Rate Received 1 $ 60,000 3/31/2024 8% 6/30/2024 12% 2 60,000 3/31/2024 8% 9/30/2024 12% 3 60,000 3/31/2024 8% 9/30/2024 15% 4 120,000 6/30/2024 6% 10/31/2024 12% 5 120,000 6/30/2024 6% 10/31/2024 15% 6 120,000 6/30/2024 6% 11/30/2024 12%
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, 2024, and the principal and Interest are due at maturity. For each situation, determine the proceeds received from the bank on discounting the note. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar. Note Value Note Face Date of Note Interest Rate Date Discounted Discount Proceeds Rate Received 1 $ 60,000 3/31/2024 8% 6/30/2024 12% 2 60,000 3/31/2024 8% 9/30/2024 12% 3 60,000 3/31/2024 8% 9/30/2024 15% 4 120,000 6/30/2024 6% 10/31/2024 12% 5 120,000 6/30/2024 6% 10/31/2024 15% 6 120,000 6/30/2024 6% 11/30/2024 12%
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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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, 2024, and the principal and Interest are due at maturity. For each
situation, determine the proceeds received from the bank on discounting the note.
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar.
Note
Value
Note Face Date of Note
Interest
Rate
Date
Discounted
Discount
Proceeds
Rate
Received
1
$ 60,000
3/31/2024
8%
6/30/2024
12%
2
60,000 3/31/2024
8%
9/30/2024
12%
3
60,000 3/31/2024
8%
9/30/2024
15%
4
120,000 6/30/2024
6% 10/31/2024
12%
5
120,000
6/30/2024
6% 10/31/2024
15%
6
120,000
6/30/2024
6% 11/30/2024
12%
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