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what is the maturity value of a $ 63,928, 7%, 136 day note receivable? round to the nearest one dollar.

1 Answer

3 votes

Final answer:

To calculate the maturity value of a note receivable, multiply the principal amount by the interest rate, then add the principal amount to the interest earned. Finally, round the maturity value to the nearest dollar.

Step-by-step explanation:

To calculate the maturity value of a note receivable, you need to consider the principal amount, interest rate, and time period. In this case, the principal amount is $63,928, the interest rate is 7%, and the time period is 136 days.

To find the interest earned, multiply the principal amount by the interest rate:

Interest = Principal Amount * Interest Rate

Next, calculate the maturity value by adding the principal amount to the interest earned:

Maturity Value = Principal Amount + Interest

Finally, round the maturity value to the nearest dollar. Plugging in the values, the calculation would be:

Interest = $63,928 * 0.07 = $4,474.96

Maturity Value = $63,928 + $4,474.96 = $68,402.96

After rounding to the nearest dollar, the maturity value is $68,403.

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User Bitboy
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