A Promissory Note Has a Face Value of $5175

question 56

Multiple Choice

A promissory note has a face value of $5175.00 and it has a date of issue of April 2 this year. The term is for 5 months. The rate of interest is 6.75%. What is the maturity value of the note?

• A) $5324.30
• B) $5234.30
• C) $5342.30
• D) $5334.20
• E) $5444.30

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Definitions:

Hyperventilation

A condition of breathing more rapidly or deeply than normal, causing excessive expulsion of circulating carbon dioxide, which can lead to symptoms such as lightheadedness or tingling of the limbs.

Panic Disorder

A psychiatric disorder characterized by recurring panic attacks and persistent concern about having more attacks.

High Arousal

A state of heightened physiological and psychological activity including increased heart rate, alertness, and focus.

Panic Attacks

Abrupt surges of intense fear or discomfort that peak within minutes and involve symptoms like palpitations, sweating, and feelings of doom.