Varsity Press, a publisher of college textbooks, received a $70,000 promissory note at 12% ordinary interest for 60 days from one of its customers, Reader’s Choice Bookstores. After 20 days, Varsity Press discounted the note at the Grove Isle Bank at a discount rate of 14.5%. The note was made on March 21. What was the maturity date of the note?

March 31-21 (Date of note)=10 days remaining.


Take the 60 days-10 (days remaining in march)=50-30 (days in April)=20 days

So, the maturity date of the note is May 20th.

Using the scenario from the previous question, calculate the maturity value of the note.

To determine the maturity date of the promissory note, we need to calculate the total number of days from the date it was made to the maturity date.

The note was made on March 21, and it had a term of 60 days. To find the maturity date, we add 60 days to March 21.

Therefore, the maturity date of the note is 60 days after March 21.

To calculate the maturity date, we can use the following steps:

1. Determine the number of days in each month: March has 31 days.
2. Subtract the number of days in March from the total term of the note: 60 - 31 = 29.
3. Divide the remaining days (29 in this case) by the number of days in April (30): 29 / 30 = 0.96.
4. Since April has 30 days, the fraction 0.96 indicates the number of days into April before reaching the maturity date.
5. Add the days in April (0.96 * 30 = 28.8) to the last day in March (31): 31 + 28.8 = 59.8.

Therefore, the maturity date of the note is April 29th.