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What is the significance of a single payment loan?

What is a written promise to pay a certain sum of money on a specific date in the future?

A

Cheque

B

Promissory note

C

Invoice

D

Memo

What is the total amount you must repay?

A

Promissory note

B

Single payment

C

Maturity Value

D

Multiple payments

Compute the (a) interest and (b) maturity value for each loan.

1. Parker Logan purchased a new surfboard costing $600 and financed it at 9% ordinary interest for 90 days.

1. Parker Logan purchased a new surfboard costing $600 and financed it at 9% ordinary interest for 90 days.

Give the steps of calculating the interest and maturity value of a loan.

How long would it take a construction loan for $548,048 to earn interest of $50,000 at 9% exact interest?

How can you calculate the time to pay back?

Give the main points of the lesson.