Evaluating alternative notes A borrower has two alternatives a loan: (1) issue a $240,000, 60-day, 8% note or (2) issue a $240,000, 60-day note that the creditor discounts at 8%. Calculate the amount of the interest expense for each option. Determine the proceeds received by the borrower in each situation. Which alternative is more favorable to the borrower? Explain. Entries for notes payable A business issued a 30-day, 7% note for $150,000 to a creditor on account. Journalize the entries to record the issuance of the note and (b) the payment of the note at maturity, including interest