GLOBE 66 B/s * 1896:12 Exercises: (Simple Interest-Simple Discount-Promissory Note) 1. A small business owner Borrowed Php8,500.00 at 9% for 18 months. How much interest will be repaid upon maturity of the loan? 2. On May 10. Victoria borrowed Php25,000.00 from the bank at 18% interest. What is the interest charge on the loan if she will paid her obligation on August 8? 3. Discount Php1,500.00 for three years at 6% simple interest? 1 4. If money is worth 6 %, find the present value on Php2,800.00 due in 5 years? 5. If Php5,255.60 is the present value of Php6,350.00 which due at the end of 10 months, find the simple interest rate? 6. How many months will it take for Php10,000.00 to earn Php890.00 if it is invested at 8% simple interest? 7. Find the interest and amount 1 2 % for three on Php9,700.00 at 4 months. 8. Accumulate Php9,400.00 for 45 3 days at 5 4 %. 9. At what rate must php7,900.00 be invested in order to accumulate to Php10,600.00 in 120 days? 10. Find the present value of Php4,700.00 due in seven months at 7% discount rate. 11. Discount Php3,080.00 for 85 3 days at a discount rate of 5 4 %. 12. Mrs. Tabachoy invested Php12,300.00 at 13% for 5years. What is the equivalent discount rate for this transaction? 13. Find the discount rate which is equivalent to the simple interest rate of 12% in accumulating or discounting money for six months. 14. Raja Wholesales receives a Php50,000.00 note for goods sold to a retailer. The note matures in three months and bears a 14% simple interest rate. One month later the wholesaler find herself short of cash and sells her note to a bank at 15% discount rate. a. What is the maturity value of the note? b. What is the proceeds which Raja received? c. How much gross profit would the bank make if it keeps the note to maturity? 15. On September 12, 2003 Ica-Mataba draws a note to the order of Aquila- dragon Enterprises to pay Php40,000.00 without interest at the end of four months. Find the proceeds for Aquila-dragon enterprises if the note is discounted for her at 16% on October 18, 2003 by FAT bank. 16. A four-month note whose face value is Php5,600.00 bears interest at 7%. The note is discounted two months before maturity at a bank whose discount 3 rate is 4 4 %. Find the proceeds