On March 12, Bill Jones accepted a $12,000 note in granting a time extension of a bill for goods purchased by Ron Prentice. Terms of the note were 13% for 90 days. On April 24, Bill could no longer wait for the money and discounted the note at Able Bank at a discount rate of 14%. The proceeds to Bill are:
A)$12,047.90
B)$12,163.54
C)$12,390.00
D)$12,048.90
E)None of these

Question

Quizplus · Accepted Answer

The Answer of On March 12, Bill Jones accepted a $12,000 note in granting a time extension of a bill for goods purchased by Ron Prentice. Terms of the note were 13% for 90 days. On April 24, Bill could no longer wait for the money and discounted the note at Able Bank at a discount rate of 14%. The proceeds to Bill are:
A)$12,047.90
B)$12,163.54
C)$12,390.00
D)$12,048.90
E)None of these

On March 12, Bill Jones Accepted a $12,000 Note in Granting