ABC Company Borrows $P from XYZ Bank on March 3,2010

Multiple Choice

ABC Company borrows $P from XYZ bank on March 3,2010 by writing a promissory note,due in 6 months at a simple interest rate of 5%.The bank uses ordinary interest in its calculations.If the maturity value of the note is $257,000,what is P? (Answer to nearest dollar)

A) $250,494
B) $250,581
C) $250,596
D) $250,682