Find the Discount and Proceeds on the Simple Discount Note

question 42

Multiple Choice

Find the discount and proceeds on the simple discount note.
-Face value: $5,700.00 Discount rate: 11%
Time (days) : 30

• A)Discount: $627.00
• Proceeds: $5,073.00
• B)Discount: $52.25
• Proceeds: $5,647.75
• C)Discount: $0.00
• Proceeds: $5,700.00
• D)Discount: $51.53
• Proceeds: $5,648.47

---

Definitions:

Net Income

The total earnings of a company after deducting all expenses, taxes, and losses, indicating the company's profitability.

Income Statement

A financial statement that reports a company's financial performance over a specific accounting period, including revenues, expenses, and net income or loss.

Straight-Line Depreciation

A method of allocating the cost of a tangible asset over its useful life evenly.

Depreciation

Depreciation is the systematic allocation of the depreciable amount of an asset over its useful life.