Harry Jones accepted a six-month, 8%, $40,000 note receivable from a customer on July 1, 2018. Jones has an arrangement with the National Bank to discount selected customer notes at 10% without recourse. On August 1, 2018, Jones discounted the note under the arrangement with National Bank. What was the amount of proceeds Jones received from the discounted note?
A. $40,000
B. $39,867
C. $38,267
D. $41,600