Posted by Trish on .
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?
Iknow this is May 20th.
I am really lost on the next three.
Using the scenario from the previous question, calculate the maturity value of the note.
What was the discount date of the note from the previous question?
What proceeds did Varsity Press receive after discounting the note?