What are the proceeds of this sale

Assignment Help Civil Engineering
Reference no: EM13275370

Problem 1

Suppose you signed a 6-month promissory note on January 15, 2004 for a face value of $4,300. Interest rate on the loan was 14%, simple interest. The holder of the note sold the note at 17%, bank discount rate 20 days after receiving the note from you.

A. What are the proceeds of this sale?

B. If the note was sold at simple discounting conditions instead, at a simple discount rate of 17%, how much would the sellerleceive for the note?

Problem 2

Suppose you had taken out a demand loan instead for the same principal and interest rate as in Problem 1. You made a payment equal to 1/4 of the principal 30 days later and another payment 30 days after that equal to 1% of the outstanding principal after the first payment was made.

A. How much would you need to pay to discharge this loan 180 days after taking out the loan using the Method of Declining Balance?

B. How much would be the amount required to discharge the loan using an equation of value with focal date at 180 days? (i.e., Merchant's Rule)? Use the same sized payments determined from the time diagram for Problem 2A.

Attachment:- Assignment.rar

Reference no: EM13275370

Questions Cloud

Explain normal boiling points of cyclohexane and toluene : What are the normal boiling points of cyclohexane and toluene. Without looking up the actual value, which has a higher vapor pressure
Find the magnitude of the average net force that acts : When jumping straight down, you can be seriously injured if you land stiff-legged. One way to avoid injury is to bend your knees upon landing to reduce the force of the impact. A 83.2-kg man just before contact with the ground has a speed of 5.50 m/s..
What makes the emerging market carry trade so different : What makes the emerging market carry trade so different from traditional of uncovered interest arbitrage?
What is the length of the slope : A skier of mass 100 kg starts from rest and comes down a slope of constant angle 25 degrees with the horizon. What is the length of the slope
What are the proceeds of this sale : What are the proceeds of this sale and if the note was sold at simple discounting conditions instead, at a simple discount rate of 17%, how much would the sellerleceive for the note?
Explain the approximate hemoglobin molecular weight : A human body contains 6 liters of blood. The hemoglobin content of blood is about 15.5g/100 mL of blood. The approximate hemoglobin molecular weight is 64,500g/mol. How many moles of hemoglobin are present in a typical adult
How much of the payment by the tenth year : can you explain why the figure change?if the interest rate doubles, would you expect the mortagage payment to double?
Find the normal force exerted at the bottom of the loop : A person of mass 50 kg rides a loop the loop (vertical circular track) at an amusement park. find the normal force exerted at the bottom of the loop
Find the critical angle for an optical fiber : Find the critical angle for an optical fiber whose core has n value of 1.50 and whose cladding has n value of 1.15

Reviews

Write a Review

 

Civil Engineering Questions & Answers

  Direction of flow in a conical tube

A conical tube of length 8 m fixed vertically with its smaller end upwards. The velocity head and pressure head at upper ends are 1.27 m and 2.50 m respectively.

  Hydrograph for a watershed having a drainagearea

For the data given below, derive the 2-hr unit hydrograph for a watershed having a drainagearea of 216 km^2, assuming a constant baseflow of 20 m^3/s.

  Define the term coefficient of permeability

How would you define the coefficient of permeability? Give typical values of the coefficient for: a) fresh cement pastes; b) hardened cement pastes; c) commonly used aggregates;

  Determine the value of po

Determine the value of Po, as a funciton of H, for these two investment alternatives to be equivalent at an interest rate of i=15% per year.

  What criteria should zachary use evaluate the project

what criteria should Zachary use evaluate the project ?

  What force must be applied at each connection

A concentrated downward force of 2000 lb. is located 6' from the left support, and a uniformly distributed load of 200 lbs./lin. ft. begins 6' to the right end of the member. What force must be applied at each connection to maintain equilibrium?

  Calculate uniform load

Calculate uniform load (in addition to self wt.) which will cause the section to begin cracking

  Environmental impact regarding the construction of the dam

Draw A flow net. Show flow lines, flow Channels, and Equipotential lines. Using flow nets, please provide an estimate of seepage rate below the dam. Your submittal will provide the basis for an environmental impact statement regarding the construc..

  What textbooks are used and required

What textbooks are used and required for CIVE 205, MECH 289, CIVE 290, EPSC 221 and MATH 263 at McGill?

  Calculate the freezing point of aqueous

Calculate the freezing point of aqueous 0.369 m LiCl on the assumption that it is 100% dissociated. Calculate the freezing point if the percent dissociation is 0%.

  Determine the height of the wake region h

You may assume that the total pressure at the downstream station is uniform across the tunnel and given by the value at the wall. Neglecting gravitational effects.

  Using finite element method to find temperature of the poker

The temperature of the poker at the third points of the poker using three elements of equal length. Use the finite element method. You may use Mathcad to solve this problem. If you do, please show all work and add comments to the Mathcad solution ..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd