Homework SourseMaturity Dates of Notes Payable Determine the maturity date
Maturity Dates of Notes Payable
Determine the maturity date and compute the interest for each of the following notes payable with add-on interest:
Use 360 days for calculations and round to the nearest dollar.
For the maturity date, select the appropriate month using the drop-down menu and enter the correct day next to the month using the fill-in the blank answer box.
| Date of note | Principal | Interest Rate | (%) | Term | |
|---|---|---|---|---|---|
| a. | August 5 | $18,000 | 8% | 90 days | |
| b. | May 10 | 11,400 | 7% | 120 days | |
| c. | October 20 | 15,000 | 9% | 45 days | |
| d. | July 6 | 7,500 | 10% | 60 days | |
| e. | September 15 | 16,500 | 8% | 60 days |
Solution
Calculate maturity date and interest :
| Maturity date | Interest | |
| a. | 3 November | 18000*8%*90/360= 360 |
| b | 7 september | 11400*7%*120/360 = 266 |
| c | 4 December | 15000*9%*45/360 = 169 |
| d | 4 september | 7500*10%*60/360 = 125 |
| e | 14 November | 16500*8%*60/360 = 220 |
