A borrower has two alternatives for a loan: (a) issue a $480,000, 60-day, 8% note or (b) issue a $480,000, 60-day note that the creditor discounts at 8%. (Assume a 360-day year is used for interest calculations.) Required: 1. Calculate the amount of the interest expense for each option. 6,400 for alternative (a) 480,000 X for alternative (b) 2. Determine the proceeds received by the borrower in each situation. 480,000 proceeds for alternative (a) X proceeds for alternative (b)