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Ray Furniture wants to buy a dining room set for $7,000 with a 20% trade discount. Ray needs the ...

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Ray Furniture wants to buy a dining room set for $7,000 with a 20% trade discount. Ray needs the ...

Ray Furniture wants to buy a dining room set for $7,000 with a 20% trade discount. Ray needs the cash to pay the bill and is considering discounting a 90-day note dated May 12, with a maturity value of $6,500 at Hunt Bank at a discount rate of 13% on June 5. The bank discount if Ray discounts the note is:

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$211.25

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$1,400.00

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$154.92

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$212.15

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None of these

Textbook

Math for Business and Finance: an Algebraic Approach

Edition: 3^rd

Author: Slater

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