pRomIssOrY NoTe..

THIS IS THE LAST OUR TOPIC IN BUSINESS MATH...
ABOUT PROMISSORY NOTE ..
THE PROMISSORY NOTE IS SHOWN THERE..

Promissory note or notes in short are debt instrument :

• Use for who wants to borrow money or lend money to another person or party.

Importance :

• To the negotiable instrument in the economy.

Promissoy note can calculated use formula

MATURITY VALUE = FACE VALUE+INTEREST DUE

fOr ExAmPlE :

Rm2500 20 April 2005

Sixty days after date i promise to pay to the order of Mohammed Salleh

Ringgit Malaysia : Two thousands five hundred only

for value received with interest at the rate of 8.00%

per annum until paid.

No.1234 Due :19 June 2005

Mat Hassan

(a) WhO Is tHe MaRkEr tHe nOtE ?

the mAkER is MaT HaSsAn

(b)who iS tHe pAyeE Of ThE nOtE?

cAlCUlAtEd ThE MaTuRiTy VaLuE oF tHE nOtE,,

mAtUrITy VaLuE = fAcE + iNtErEst dUe

= 2500+2500(0.08)(60/360)

=Rm2533.33

tHe ImPoRtAnT tHing In LeArNiNg BuSiNeSSmAth

hUhUhu..

WHy i SAiD ThaT??

bEcAuSe..

ItS iMpOrtAnt La..

aN eXaMPlE..

wHeN wE In EXaMiNaTiOn..

AnD aLsO..

dO a CaLcUlAtIon..

We NEeD iT..

hMM.. MaTh La kAtEkN.. hUhU..

StUdY WiT AnIs.. LiKe StUdY gRoUp La..

hMM.. TeSt aRoUnD a cOrNeR.. FuH!!!! HmMmMm...

i WiTh mY FrEn,aNiS StUdy AbOuT MaRkUp MaRk DoWn,sImPlE iNtErEsT,aNd AlSo BaNk DiScOuNt.. Im sAtiSFiEd StUdy In gRoUp BeCaUsE i CaN MoRe UnDeRsTaNd.. i AlSo CaN cOmPaRe My OpInIoN wItH mYfReN..sO,WiTh ThAt i FeLt I lIkE mOrE KnOwLEDgaBlE..hEhE...nOw.. i AlSo cAn ReMeNmBeR wHaT hAd MiSS ChEnG tEaCh mE..i AnD aNiS MeMoRiEs All THe fOrMulA ANd I aNd AnIs HoPe CaN aNsWer VeRy WeLL anD suCcESfUl..HuhU

sOmE of ThE fOrMuLa :

fOr MaRkUp AnD mArK dOwN..

R= C+NP+OE

R= C+M

bAnK dIsCoUnT..

D= Sdt

P= S(1-dt)

SiMpLe InTeReSt..

I=Prt

S=P(1+rt)

So, nOw I aNd AnIs MoRe MeMoRiES aLL tHe fOrMulA aNd mOrE EaSIeR to CaLcULaTe AbOuT bUSiNeSSMaTH..