Fill in the missing information 1. Find the missing information 2. Monetary Value: Round up the monetary value to the next whole value Use 360 days = 1 year in computing for interest The following information pertains to the discounting of promissory note received by the seller: Principal 70,000.00 Date of note 03/21 Interest Rate 12% Term of note 60 days Maturity Date 05/20 Maturity Value 71,400.00 Note was discounted after 20 days Discount Rate (?) % Term of discounting with recourse Discount date 04/10 Discount amount 1,150.33 Net proceeds from discounting 70,249.67 Carrying Amount ? Gain (Loss) from discounting ?
Fill in the missing information 1. Find the missing information 2. Monetary Value: Round up the monetary value to the next whole value Use 360 days = 1 year in computing for interest The following information pertains to the discounting of promissory note received by the seller: Principal 70,000.00 Date of note 03/21 Interest Rate 12% Term of note 60 days Maturity Date 05/20 Maturity Value 71,400.00 Note was discounted after 20 days Discount Rate (?) % Term of discounting with recourse Discount date 04/10 Discount amount 1,150.33 Net proceeds from discounting 70,249.67 Carrying Amount ? Gain (Loss) from discounting ?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Fill in the missing information
1. Find the missing information
2. Monetary Value: Round up the monetary value to the next whole value
Use 360 days = 1 year in computing for interest
The following information pertains to the discounting of promissory note received by the seller:
| Principal | 70,000.00 |
| Date of note | 03/21 |
| Interest Rate | 12% |
| Term of note | 60 days |
| Maturity Date | 05/20 |
| Maturity Value | 71,400.00 |
| Note was discounted | after 20 days |
| Discount Rate | (?) % |
| Term of discounting | with recourse |
| Discount date | 04/10 |
| Discount amount | 1,150.33 |
| Net proceeds from discounting | 70,249.67 |
| Carrying Amount | ? |
| Gain (Loss) from discounting | ? |
Thank you for helping me :D
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