Question
Proceeds from Notes Payable On January 26, Elegant Co. borrowed cash from Conrad Bank by issuing a 120-day note with a face amount of $88,800.
Proceeds from Notes Payable
On January 26, Elegant Co. borrowed cash from Conrad Bank by issuing a 120-day note with a face amount of $88,800. Assume a 360-day year.
a. Determine the proceeds of the note, assuming the note carries an interest rate of 5%. $fill in the blank 1
b. Determine the proceeds of the note, assuming the note is discounted at 5%. $fill in the blank 2
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Financial Accounting For Decision Makers
Authors: Peter Atrill, Eddie McLaney
7th Edition
027378563X, 9780273785637
