A borrower has two alternatives for a loan:
(1)issue a $480,000,60-day,8% note or
(2)issue a $480,000,60-day note that the creditor discounts at 8%.
(Assume a 360-day year is used for interest calculations.)

Question

A borrower has two alternatives for a loan: 
(1)issue a $480,000,60-day,8% note or 
(2)issue a $480,000,60-day note that the creditor discounts at 8%.
(Assume a 360-day year is used for interest calculations.)

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The Answer of A borrower has two alternatives for a loan: 
(1)issue a $480,000,60-day,8% note or 
(2)issue a $480,000,60-day note that the creditor discounts at 8%.
(Assume a 360-day year is used for interest calculations.)

A Borrower Has Two Alternatives for a Loan