Determine due date and interest on notes determine the due date and the amount of interest due at maturity on the following notes: date of note face amount interest rate term of note a. january 3 * $80,000 6% 120 days b. february 20 * 27,000 4 30 days c. may 24 62,500 8 45 days d. august 30 30,000 5 90 days e. october 4 40,000 7 90 days * assume a leap year in which february has 29 days. assume 360 days in a year when computing the interest.

Explanation:

The computations are shown below:

a.  For January 3

Due date after 120 days would be

= 28 days in January + 29 days in February + 31 days in march + 30 days in April + 2 days in May

So 2 May

And the interest would be

= Principal × rate of interest × number of days ÷ (total number of days in a year)  

= $80,000 × 6% × (120 days ÷ 360 days)

= $1,600

b.  For February 20

Due date after 30 days would be

= 9 days in February + 21 days in march

So 21 March

And the interest would be

= Principal × rate of interest × number of days ÷ (total number of days in a year)  

= $27,000 × 4% × (30 days ÷ 360 days)

= $90

c.  For May 24

Due date after 45 days would be

= 7 days in May + 30 days in June + 8 days in July

So 8 July

And the interest would be

= Principal × rate of interest × number of days ÷ (total number of days in a year)  

= $62,500 × 8% × (45 days ÷ 360 days)

= $625

d.  For August 30

Due date after 90 days would be

= 1 days in August + 30 days in September + 31 days in October + 28 days in December

So 28 December

And the interest would be

= Principal × rate of interest × number of days ÷ (total number of days in a year)  

= $30,000 × 5% × (90 days ÷ 360 days)

= $375

e.  For October 4

Due date after 90 days would be

= 27 days in October + 30 days in November + 31 days in December + 2 days in January

So 2 January

And the interest would be

= Principal × rate of interest × number of days ÷ (total number of days in a year)  

= $40,000 × 7% × (90 days ÷ 360 days)

= $700

enjoy the dunce cap fool

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