A borrower has two alternatives for a loan: (1) issue a $540,000,120-day, 7% note or (2) issue a $540,000,120-day note that the creditor discounts at 7%. Assume a 360 -day year. a. Compute the amount of the interest expense for each option. $ for each alternative. b. Determine the proceeds received by the borrower in each situation. (1) $540,000,120-day, 7% interest-bearing note $ (2) $540,000,120-day note discounted at 7% $ c. Alternative is more favorable to the borrower because the borrower