Top Posters
Since Sunday
o
5
b
4
4
s
3
j
3
b
3
m
3
K
3
g
3
L
3
w
3
m
3
Home Q & A Board Science-Related Homework Help Mathematics
New Topic  
coleshear coleshear
wrote...
Go to Answer
Posts: 147
Rep: 0 0
A year ago
Duncan Developments Ltd. obtained a $120,000 line of credit from its bank to subdivide a parcel of land it owned into four residential lots and to install water, sewer, and underground electrical services. Amounts advanced from time to time are payable on demand to its bank. Interest at prime plus 4% on the daily principal balance is charged to the developer's bank account on the 26th of each month. The developer must apply at least $30,000 from the proceeds of the sale of each lot against the loan principal. Duncan drew down $50,000 on June 3, $40,000 on June 30, and $25,000 on July 17. Two lots quickly sold, and Duncan repaid $30,000 on July 31 and $35,000 on August 18. The initial prime rate of 5% changed to 5.25% effective July 5 and 5.5% effective July 26. What were the first three interest deductions charged to the developer's account?
Textbook 
Business Mathematics in Canada

Business Mathematics in Canada


Edition: 11th
Authors:
Read 39 times
1 Reply
Replies
Answer verified by a subject expert
jmoline2jmoline2
wrote...
#1
Posts: 141
Rep: 0 0
A year ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

coleshear Author
wrote...

A year ago
Correct Slight Smile TY
jblazah
wrote...

Yesterday
Brilliant ツ
sweetalia
wrote...

2 hours ago
Good timing, thanks!
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1204 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 333
  
 1218
  
 304
Your Opinion
What's your favorite math subject?
Votes: 315
Previous poll results: Should Ph.D.'s be addressed as doctors?