The notes receivable held by the Tolleson Company on August 3, 2016, are summarized below. On August 4, 2016, Tolleson discounted all of these notes at Neighborhood Bank and Trust at a discount rate of 10 percent. Compute the net proceeds received from discounting each note.

Analyze: What is the net interest income or expense to be reported from these transactions assuming all notes are paid when due?

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Note No. 31 32 Date Apr. 4, 2016 June 11, 2016 July 31,2016 Face Amount $50,000 15,000 12,000 Period months 120 days 60 days Interest Rate 8% 10