Using ordinary interest, calculate the missing information for the following simple discount notes. Bank Date of Note Maturity Date Discount Aug. 14 Face Value 20. $50,000 21. $875,000 Discount Rate (%) 13 9/2/2 Apr. 5 Oct. 25 Term (days) 87 Proceeds
Using ordinary interest, calculate the missing information for the following simple discount notes. Bank Date of Note Maturity Date Discount Aug. 14 Face Value 20. $50,000 21. $875,000 Discount Rate (%) 13 9/2/2 Apr. 5 Oct. 25 Term (days) 87 Proceeds
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:Using ordinary interest, calculate the missing information for the following simple discount notes.
Date of
Bank
Maturity
Date
Note
Discount
Aug. 14
Face
Value
20.
$50,000
21. $875,000
Discount
Rate (%)
13
9/2/2
Apr. 5
Oct. 25
Term (days)
87
Proceeds
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