Question: (i) Find the proceeds when the following note is discounted: Face Value Date Term Interest rate Date of discount Discount rate $5000 Apr.21 3 months

(i) Find the proceeds when the following note is discounted:

Face Value Date Term Interest rate Date of discount Discount rate

$5000 Apr.21 3 months 16% June 11 16%

ii. Find the rate of interest earned by the purchaser if he holds the note until maturity.

(i) Find the proceeds when the following note is discounted:

Face Value Date Term Interest rate Date of discount Discount rate

$5000 Apr.21 3 months 16% June 11 16%

ii. Find the rate of interest earned by the purchaser if he holds the note until maturity.

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