The following interest-bearing promissory note was discounted at a bank by the payee before maturity. Use the ordinary interest method, 360 days, to calculate the missing information. (Round dollars to the nearest cent.) Face Value Interest Rate (%) Date of Note Term of Note (days) Maturity Date Maturity Value (in $) $750 141 June 9 135 ---Select--- * $ 794.96 2 Date of Discount Discount Period (days) Sept. 5 × Discount Rate (%) 15.5 $ tA Proceeds (in $)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The following interest-bearing promissory note was discounted at a bank by the payee before maturity. Use the ordinary
interest method, 360 days, to calculate the missing information. (Round dollars to the nearest cent.)
Face
Value
Interest
Rate (%)
Date of
Note
Term of
Note (days)
Maturity
Date
Maturity
Value
(in $)
$750
141
June 9
135
---Select--- *
$ 794.96
2
Date of
Discount
Discount
Period (days)
Sept. 5
×
Discount
Rate (%)
15.5
$
tA
Proceeds
(in $)
Transcribed Image Text:The following interest-bearing promissory note was discounted at a bank by the payee before maturity. Use the ordinary interest method, 360 days, to calculate the missing information. (Round dollars to the nearest cent.) Face Value Interest Rate (%) Date of Note Term of Note (days) Maturity Date Maturity Value (in $) $750 141 June 9 135 ---Select--- * $ 794.96 2 Date of Discount Discount Period (days) Sept. 5 × Discount Rate (%) 15.5 $ tA Proceeds (in $)
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