What is the maturity value of the promissory note

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Question: A 120-day, 8% promissory note with face value of $15,000 issued on May 1, 2012 was sold on August 5, 2012 while the cost of money is 4%.

(1) When is the maturity date of the promissory note? (Answer in format of date is MM/DD/YYYY)

(2) What is the maturity value of the promissory note?

(3) What is the price the note was sold on August 5, 2012?

(4) What is the profit did the note holder get from selling the note?

(5) What is the interest rate did the note holder earn from selling the note?

(6) If the buyer cash the note on the maturity date, how much profit did the buyer earn?

Reference no: EM131884383

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