June: 30-6=24
July: 31
August:31
September:30
October: 8
Total=24+31+31+30+8=124 days
Discount period:
The period of time between the date a bill of exchange is drawn and the date on which payment is due.
So discount period = 200-124=76 days
A $120,000, 5% 200-day note dated June 6 is discounted on October 8. The discount period is _______ days.
a. 142
b. 67
c. 124
d. 76
C is wrong
2 answers
D is correct the math above is correct
2 answers