A 60-day $500 note with interest at 9.5% was written on July 15. The maker approaches the payee on August 9 to propose an early settlement. What amount should the payee be willing to accept on August 9 if short-term investments can earn 7.25%?

A 60-day 5500 note with interest at 9.55 was written on July 15. The maker approaches the payee on August 9 to propose an early settlement. What amount should the payee be willing to accept on August 9 if short-term investments can earn 725%? Multiple Choice $502.30 5503.40 558430 $502 50