Calculate the bank discount and proceeds (in $) for the simple discount note. Use the ordinary interest method, 360 days, when applicable. (Round your answers to the nearest cent.)
Face Value	Discount Rate (%)	Term	Bank Discount	Proceeds
$95,000	9.35	11 months	$
8,151

Incorrect: Your answer is incorrect.
$
86,849

Incorrect: Your answer is incorrect.

To calculate the **bank discount** and **proceeds** for a simple discount note, we can follow the standard formulas:

1. **Bank Discount (BD)**:  
   \[
   BD = \text{Face Value} \times \text{Discount Rate} \times \frac{\text{Term (in days)}}{360}
   \]
   Here, we convert the term of 11 months into days (assuming 30 days per month as per the ordinary interest method):
   \[
   \text{Term (in days)} = 11 \times 30 = 330 \, \text{days}
   \]
   
2. **Proceeds (P)**:  
   \[
   P = \text{Face Value} - BD
   \]

### Given Data:
- **Face Value (FV)**: $95,000
- **Discount Rate**: 9.35% = 0.0935 (as a decimal)
- **Term**: 11 months = 330 days

### Step 1: Calculate the Bank Discount
\[
BD = 95,000 \times 0.0935 \times \frac{330}{360}
\]

Let's calculate that.

The **bank discount** is approximately **$8,142.29**.

### Step 2: Calculate the Proceeds
\[
P = 95,000 - 8,142.29
\]
Let me calculate the proceeds next.The **proceeds** are approximately **$86,857.71**.

### Summary:
- **Bank Discount**: $8,142.29
- **Proceeds**: $86,857.71

Would you like a detailed explanation of the method or further clarification?

Here are five related questions to expand on this:
1. How is the bank discount affected by increasing the discount rate?
2. What would happen to the proceeds if the term were shorter?
3. How does the ordinary interest method compare to the exact interest method?
4. Can we calculate the effective interest rate from the given bank discount and proceeds?
5. What are other common ways of calculating interest on a loan?

**Tip:** When dealing with financial calculations, always make sure to use the correct number of days for the interest method (360 or 365).

Calculate the bank discount and proceeds (in $) for the simple discount note. Use the ordinary interest method, 360 days, when applicable. (Round your answers to the nearest cent.) Face Value $95,000, Discount Rate 9.35%, Term 11 months.

Learn how to calculate the bank discount and proceeds for a simple discount note using the ordinary interest method with 360 days. In this problem, the face value is $95,000, the discount rate is 9.35%, and the term is 11 months. Understand key financial concepts and formulas for solving simple discount note problems.

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