FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A man has a simple discount note for $6400, at an ordinary bank discount rate of 8.53 %, for 60 days. What is the effective

A man has a simple discount note for $6400, at an ordinary bank discount rate of 8.53 %, for 60 days. What is the effective interest rate? Round to the nearest tenth of a percent. (Use the banker's rule.)

Periods

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%

4.00%

4.50%

5.00%

5.50%

1

1.00500

1.01000

1.01500

1.02000

1.02500

1.03000

1.03500

1.04000

1.04500

1.05000

1.05500

2

1.01003

1.02010

1.03023

1.04040

1.05063

1.06090

1.07123

1.08160

1.09203

1.10250

1.11303

3

1.01508

1.03030

1.04568

1.06121

1.07689

1.09273

1.10872

1.12486

1.14117

1.15763

1.17424

4

1.02015

1.04060

1.06136

1.08243

1.10381

1.12551

1.14752

1.16986

1.19252

1.21551

1.23882

5

1.02525

1.05101

1.07728

1.10408

1.13141

1.15927

1.18769

1.21665

1.24618

1.27628

1.30696

6

1.03038

1.06152

1.09344

1.12616

1.15969

1.19405

1.22926

1.26532

1.30226

1.34010

1.37884

7

1.03553

1.07214

1.10984

1.14869

1.18869

1.22987

1.27228

1.31593

1.36086

1.40710

1.45468

8

1.04071

1.08286

1.12649

1.17166

1.21840

1.26677

1.31681

1.36857

1.42210

1.47746

1.53469

9

1.04591

1.09369

1.14339

1.19509

1.24886

1.30477

1.36290

1.42331

1.48610

1.55133

1.61909

10

1.05114

1.10462

1.16054

1.21899

1.28008

1.34392

1.41060

1.48024

1.55297

1.62889

1.70814

11

1.05640

1.11567

1.17795

1.24337

1.31209

1.38423

1.45997

1.53945

1.62285

1.71034

1.80209

12

1.06168

1.12683

1.19562

1.26824

1.34489

1.42576

1.51107

1.60103

1.69588

1.79586

1.90121

13

1.06699

1.13809

1.21355

1.29361

1.37851

1.46853

1.56396

1.66507

1.77220

1.88565

2.00577

14

1.07232

1.14947

1.23176

1.31948

1.41297

1.51259

1.61869

1.73168

1.85194

1.97993

2.11609

15

1.07768

1.16097

1.25023

1.34587

1.44830

1.55797

1.67535

1.80094

1.93528

2.07893

2.23248

Periods

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%

4.00%

4.50%

5.00%

5.50%

16

1.08307

1.17258

1.26899

1.37279

1.48451

1.60471

1.73399

1.87298

2.02237

2.18287

2.35526

17

1.08849

1.18430

1.28802

1.40024

1.52162

1.65285

1.79468

1.94790

2.11338

2.29202

2.48480

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting A Business Perspective

Financial Accounting A Business Perspective

Authors: Roger H. Hermanson, James Don Edwards

7th Edition

0072289988, 978-0072289985

More Books

Students also viewed these Accounting questions

Question

★★★★★
Prepare a journal entry on February 2 for fees earned on account, $6,300.

Answered: 1 week ago

Question

★★★★★
The president of the American Insurance Institute wants to compare the yearly costs of auto insurance offered by two leading companies. He selects a sample of 15 families, some with only a single...

Answered: 1 week ago

Question

★★★★★
=+would design the experiment. Indicate factors and response and how they would be measured, controlled, or randomized.

Answered: 1 week ago

Question

★★★★★
Parvis Bank and Trust Co. has calculated its daily average deposits and vault cash holdings for the most recent two-week computation period as follows: Net transaction deposits.......... = $...

Answered: 1 week ago

Question

★★★★★
Exercise 6-8 Compute the Margin of Safety (L06-7) Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month's budget appear below: Selling price...

Answered: 1 week ago

Question

★★★★★
You just graduated and landed your first job in your new career. You remember that your favorite finance professor told you to begin the painless job of saving for retirement as soon as possible, so...

Answered: 1 week ago

Question

★★★★★
Determine the moment generated by the 425 N force applied at point D about point C Note: Remember Counterclockwise moments are considered positive. Justify your answer to receive full points. 215 mm...

Answered: 1 week ago

Question

★★★★★
A recruiter is using a consistent set of questions to interview candidates for retail cashier roles in locations across the US Which question ( s ) would be inappropriate to ask? Select all that...

Answered: 1 week ago

Question

★★★★★
A customer entrusts certain important documents for safe custody to his bank.The bank keeps the documents in a wooden box.Later it is found that the documents were destroyed by white ants.What is the...

Answered: 1 week ago

Question

★★★★★
Two sides of a triangle measure 36 m and 49 m One possible dimension of the third side is Two sides of a triangle measure 36 m. and 49 m. One possible dimension of the third side is?

Answered: 1 week ago

Question

★★★★★
59. Trebecker Construction plans to discontinue its roofing segment which last year generated a contribution margin of $65,000 and incurred $70,000 in fixed costs. If the segment is discontinued,...

Answered: 1 week ago

Question

★★★★★
3.1 Given A = 3E1, E3, E6, E94 , define A.

Answered: 1 week ago

Question

★★★★★
3.5 A corporation takes delivery of some new machinery that must be installed and checked before it becomes available to use. The corporation is sure that it will take no more than 7 days for this...

Answered: 1 week ago

Question

★★★★★
An investor follows the Dow Jones Industrial index. What are the possible basic outcomes at the close of the trading day?

Answered: 1 week ago

Previous Question Next Question