Ask Question
BusinessBusiness
27 October, 19:08

A 60-day, 9% note for $10,000, dated May 1, is received from a customer on account. The maturity value of the note is A. $10,000B. $10,150C. $10,900D. $9,100

+3
Answers (1)
  1. 27 October, 22:17
    0
    The answer is: Maturity Level = $10.150,00

    Explanation:

    Notes are often a key component of how a business finances its operations. For purposes of accounting, it's important to be able to calculate the maturity value of a note to know how much a business will have to pay or receive when the note comes due.

    In general, notes are a form of short-term commercial financing. The maturity value is the amount of money that the company would receive when the note comes due.

    To calculate the maturity value you need to use the following formula:

    Maturity level = Principal + Principalx[ix (days/360) ]

    The second term of the formula is the interest receive for the passing of time.

    In this exercise:

    Maturity Level = 10000 + 10000x[0,09x (60/360) ]

    Maturity Level = 10000 + 150 = $10150
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “A 60-day, 9% note for $10,000, dated May 1, is received from a customer on account. The maturity value of the note is A. $10,000B. ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
During the current year, Chudrick Corporation expects to produce 9,000 units and has budgeted the following: net income $378,000, variable costs $1,156,000, and fixed costs $104,000. It has invested assets of $1,890,000.
Answers (1)
American Corporation has the following financial information. Year 1 Year 2 Cash $ 202.95 $ 245.90 A/R 398.02 485.34 Inventory 785.12 648.54 If Year 1 is the base year, what is the percentage increase/decrease of each current asset amount
Answers (1)
Equipment was purchased for $50,000 plus $2,500 in freight charges. Installation costs were $1,500 and sales tax totaled $1,000. Hiring a special consultant to provide advice during the selection of the equipment cost $3,000.
Answers (1)
The particular price that results in quantity supplied being equal to quantity demanded is the best price because it a. maximizes costs of the seller. b. maximizes tax revenue for the government. c.
Answers (1)
Why are information policy, data administration, and data quality assurance essential for managing the firm's data resources?
Answers (1)
New Questions in Business
What type of business makes physical goods that customers can see or touch
Answers (1)
Jase Manufacturing Co.'s static budget at 7,800 units of production includes $39,000 for direct labor and $2,340 for electric power. Total fixed costs are $39,700.
Answers (1)
Why is it important for organizations and their managers to pay close attention to fair employment practices?
Answers (2)
Which of the elements of this scenario represent a flow from a household to a firm? this could be a flow of dollars, inputs, or outputs. check all that apply.
Answers (1)
Bob has the responsibility for product development, pricing, promotion, and distribution of Hi-Vee Vitamins for children. Bob's job would not involve:
Answers (1)
Home » Business » A 60-day, 9% note for $10,000, dated May 1, is received from a customer on account. The maturity value of the note is A. $10,000B. $10,150C. $10,900D. $9,100
Sign Up Forgot Password?