Compute interest and find the maturity date for the following notes. (Round answers to 0 decimal places, e. g. 825. Use 360 days for calculation.) Date of Note Principal Interest Rate (%) Terms (a) June 10 $84,000 8% 60 days (b) July 14 $52,400 9% 90 days (c) April 27 $12,000 10% 75 days

(a) $1,120; 9th August

(b) $1,179; 12th October

(c) $250; 11th July

Explanation:

(a) Given that,

Note Principal value = $84,000

Interest rate = 8%

Time period = 60 days

Interest:

= $84,000 × 0.08 × (60/360)

= $1,120

Maturity date:

= 20 days of June + 31 days of July + 9 days of August

= Total of 60 days

Therefore, the date of maturity is 9th of August.

(b) Given that,

Note Principal value = $52,400

Interest rate = 9%

Time period = 90 days

Interest:

= $52,400 × 0.09 × (90/360)

= $1,179

Maturity date:

= 17 days of July + 31 days of August + 30 days in September + 12 days in October

= Total of 90 days

Therefore, the date of maturity is 12th of October.

(c) Given that,

Note Principal value = $12,000

Interest rate = 10%

Time period = 75 days

Interest:

= $12,000 × 0.1 × (75/360)

= $250

Maturity date:

= 3 days in April + 31 days in May + 30 days in June + 11 days in July

= Total of 75 days

Therefore, the date of maturity is 11th of July.

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