martensLA8 - 1. (5500*.055)/205*365 = 538.597561 539 5....

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1. $27,850 at 7.5% for 100 days? 1. 27850 * .075 * (100 / 365) = 572.260274 572.26 2. $ 7800 at 9.25% for 4 months 1. (7800 * .0925 * 1) / 3 = 240.5 3. What is the difference between exact and ordinary interest? 1. Exact interest is calculated on 365 days. 2. Ordinary interest is calculated on 360 days. 4. Don deposited $5500 in an account earnings 5.5 % interest. How long will it take for his investment to earn $205 in interest? Round to the nearest day.
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Unformatted text preview: 1. (5500*.055)/205*365 = 538.597561 539 5. Find (a) the discount and (b) the proceeds for the following simple discount note. Face Value: $ 9700 Discount Rate: 9.5% Time ( Days): 135 9700 * .095 * (135/365) = 340.828767 Discount = 340.83 9700 - 340.828767 = 9359.17123 Proceeds = 9359.17...
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