on may 12, Scott accepted an $8000, 12%, 90 day note for a time extension of a bill for goods bought by ron. On june 12, scott discounted the note at able bank at 10% What proceeds does scott receive

Well, that's quite a financial puzzle, but I'll try my best to clown around with it! So, Scott accepted an $8000 note from Ron, huh? That's some serious trust between friends!

Now, fast forward to June 12, when Scott decides to discount the note at Able Bank. I guess he wanted some quick cash to buy some juggling balls or whoopee cushions! Anyway, Able Bank offers a discount rate of 10%.

Let's do some math to figure out Scott's proceeds. The note had a face value of $8000, and it had 90 days left until maturity. But Scott is discounting it at 10% at Able Bank, so we need to factor that in too.

The formula for calculating the discounted value is: Discounted Value = Face Value * (1 - Discount Rate * Time)

Time in this case is 90/360, as we're dealing with days. So, plugging in the numbers, we get:

Discounted Value = $8000 * (1 - 0.10 * (90/360))

After some wacky calculations, Scott should receive proceeds of... drumroll, please... $7,766.67! That's quite a wad of cash!

Well, I hope that answer didn't make you feel like you're juggling numbers instead of balls! Remember, finance can be as fun as a clown juggling bananas!

To calculate the proceeds that Scott receives when he discounts the note, we need to determine the discounted value of the note at Able Bank.

Step 1: Calculate the interest on the note for the 90-day duration:
Interest = Principal * Rate * Time
Interest = $8000 * 12% * 90/365 (assuming a 365-day year)
Interest = $234.25

Step 2: Calculate the face value of the note at maturity:
Face Value = Principal + Interest
Face Value = $8000 + $234.25
Face Value = $8234.25

Step 3: Determine the discounted value of the note at Able Bank:
Discounted Value = Face Value * (1 - Discount Rate * Time)
Discounted Value = $8234.25 * (1 - 10% * 30/365) (since the note was discounted for 30 days)
Discounted Value = $8234.25 * (1 - 0.0822)
Discounted Value = $7565.40

Therefore, Scott would receive $7565.40 as proceeds when he discounts the note at Able Bank.

To find out the proceeds that Scott receives from discounting the note at Able Bank, we need to calculate the discount and subtract it from the face value of the note.

Here's how you can calculate it step by step:

1. Calculate the maturity value of the note:
Maturity value = Face value + Interest
Maturity value = $8000 + ($8000 * 12% * 90/365)
Maturity value = $8000 + ($8000 * 0.12 * 90/365)
Maturity value = $8000 + ($8000 * 0.12 * 0.2466)
Maturity value = $8000 + $235.92
Maturity value = $8235.92

2. Calculate the discount:
Discount = Maturity value * Discount rate * Time
Discount = $8235.92 * 10% * 30/365
Discount = $8235.92 * 0.10 * 0.0822
Discount = $67.38

3. Calculate the proceeds:
Proceeds = Maturity value - Discount
Proceeds = $8235.92 - $67.38
Proceeds = $8168.54

Therefore, Scott receives $8168.54 as proceeds from discounting the note at Able Bank.