Find the bank discount and proceeds using ordinary interest on an unsecured promissory note made to Leslie Smith for $12,000 at 7% annual simple interest from June 15 to September 15 for this year. Use the steps below to find your answers.
Explain the difference between a simple interest note and a simple discount note.
Exact time (days) of note: __________
What is the bank discount?
What are the proceeds that Leslie Smith receives?
What is the amount Leslie Smith repays?