July 184 215 243 243 273 304 334 365 31 61 92 122 Sept. 122 153 181 212 242 273 303 334 365 30 61 91 335 365 31 61 Find the interest, by use of the table, from July 25 to Nov. 22, on $1600 at 6 %. Tracing the July line across to the November column, we find 123 in the table, which means that it is 123 days from July 25 to Nov. 25. To Nov. 22, it would, therefore, be 120 days. $1600 × 60 × 120-$32 Ans. 100 = Without the table, we would find the time as follows: 207. By the table for time, find the interest on the following: 1. $800 from Nov. 2 to Feb. 10 at 5%. 6. $850 from Feb. 5 to Apr. 29, 1908, at 6%. (Leap year.) 7. $2500 from Jan. 4, 1909, to June 15, 1909, at 5%. 8. $3000 from May 6 to Dec. 12 at 6%. 9. $1500 from Apr. 5 to Nov. 28 at 51%. 10. $800 from Feb. 1, 1906, to Dec. 6, 1906, at 6%. 11. $3500 from Sept. 12, 1908, to Apr. 10, 1909, at 6%. 12. $4500 from May 4, 1908, to Dec. 1, 1908, at 5%. 13. $1200 from Dec. 15, 1910, to May 12, 1911, at 6 %. 14. $750.75 from Aug. 1, 1906, to May 4, 1908, at 6%. 15. $545.75 from June 6, 1908, to Dec. 5, 1909, at 5%. 16. $325 from Jan. 2, 1900, to Aug. 12, 1901, at 5%. 208. As 6% is a very common interest rate, the following method, called the "Six Per Cent Method," is often taught: AT SIX PER CENT = .06 of the prin. int. for 1 yr. .005 of the prin. = int. for 1 mo. .000 of the prin. = int for 1 da. To find the interest on $500 for 1 yr. 8 mo. 18 da. at 6%, we may apply the "Six Per Cent Method" as follows: Int. 1 yr.=.06 of prin. 8 mo. = .04 18 da. = .003 Int. for given time = .103 of prin. $500 ×.103 = $ 51.50. Ans. To find the interest at a different rate than 6% by this method, we first find the interest at 6%, then change it to the required per cent. For example, if the interest at 6% is $ 12, at 1% it would be $ 2, and at 5% it will be 5 times $ 2. Exercises in Interest using Six Per Cent Method 209. 1. Find the interest at 4 % on $ 300 for 1 yr. 9 mo. 18 da. Int. for given time = .108 of prin. $300 x .108 $32.40, int. at 6%. = or of $32.40 = $21.60, int. at 4%. Ans. Note. Sometimes we change the decimal rate from that of six per cent to that of the required per cent, but as this often gives fractional results, it is better as a general plan to find the interest at 6%, and then change to the interest at the required per cent. 2. Find the interest on $560 for 1 yr. 5 mo. 15 da. at 6%. 3. Find the amount due on a note which is written for $50 and has interest due for 8 mo. at 5%. 4. What is the interest on $750 from March 4, 1908, to Jan. 6, 1909? 5. Find the interest from Oct. 3, 1907, to April 10, 1908, at 6% on $2500. 6. Find the interest on $ 850 from May 12, 1908, to April 1, 1910, at 4%. 7. What is the amount of interest due on a note for $600, the interest period extending from March 4 to Aug. 10, at 6%? 8. What should I receive in interest for the use of $75 from May 1 to Dec. 1, if money is worth 5%? Note. While the Six Per Cent Method offers some advantages when in constant use so that one becomes expert in using it, for general practice where examples in interest do not occur very often, the safest and best method is the "cancellation" method, where the principal is multiplied by the rate expressed in fractional form, and the time expressed in years. PROMISSORY NOTES 210. A promissory note is a written promise made by one person to pay another a definite sum of money at a definite time. The essentials of a note are as follows: 1. It must name the amount of money to be paid. 2. It must state to whom the money is to be paid. 3. It must be signed by the person who promises to pay. 4. It must be dated and stated definitely when the money is to be paid, or the time for which it is loaned. 211. The following matters should be definitely understood by parties making or receiving notes: 1. Unless the place of payment is stated in the terms of the note, it is payable at the residence or place of business of the one who promises to pay. 2. When nothing is said about interest, no interest is to be paid until the note is due, after which, if the note is not paid, interest at the legal rate can be collected. 3. When the words " with interest" are used and the rate not stated, the legal rate of interest in the state in which the note is given is to be paid. 4. The form of the note is not important, so far as its value is concerned. If it contain the essen |