3 Flashcards
1
Q
interest revenue ( income) ( receivable ) =
A
face amount * stated interest date * term
2
Q
maturity amount=
A
face + interest
3
Q
bank discount =
A
maturity amount*bank discount rate * term
4
Q
cash proceeds =
A
maturity date - bank discount
5
Q
carrying amount =
A
face + accrued interest
6
Q
Gain/ Loss
A
proceeds - carrying amount
7
Q
Gross profit percentage =
A
deferd gross profit / A/r
8
Q
The maturity amount of a noninterest-bearing note receivable is
A
face amount which is equal maturity - amount*bank discount rate * term
