I need these two problems solved within the next 1/2 hour. Please show all work.
Chapter 11 Extra Credit
5 points
Due by the end of Wednesday, 8/22
To be eligible for partial points you must show your work!
Every year, Mr. Robie of the Black Cat Bakery is asked to provide a variety of cookies for a local grocery store chain, Save-O-Store for the Labor Day holiday. Save-O-Store operates several grocery stores, serving a large local community. In the week preceding the Labor Day holiday, Mr. Robie supplied $2,200 worth of cookies to Save-O-Store locations. He invoiced Save-O-Store for the goods with a due date of September 15. On September 12, Save-O-Store, experiencing cash flow difficulties, asks Mr. Robie if he will accept a 60 day Note, at 4.75% interest. Mr. Robie accepts the Note dated September 12.
A few weeks later, Mr. Robie finds himself (and the Bakery) to be short of cash. He goes to his local community bank, Healthy Bank, to ask them to discount his Note. Healthy Bank agrees to discount the note on October 2, at a 5% discount rate.
Question: What will Mr. Robie’s proceeds be (use ordinary interest)? Remember to read the problem very carefully!
Chapter 10 Extra Credit
Word Problem: 5 points
Due by the end of Wednesday, 8/22
To be eligible for partial points you must show your work!
Mr. Robie, owner of the Black Cat Bakery owes $21,600 on a 4.5%, 90 day note. On Day 10, he makes a partial payment of $1,600. On Day 30, he makes an additional partial payment of $8,000. On Day 60 he makes yet another partial payment of $750. Assuming ordinary interest, what is the adjusted balance due at the end of the 90 days? Remember to use the U.S. Rule! (Round to the nearest cent)
