A Five-Year Promissory Note with a Face Value of $3500

Multiple Choice

A five-year promissory note with a face value of $3500, bearing interest at 11% compounded semiannually, was sold 21 months after its issue date to yield the buyer 10% compounded quarterly. What amount was paid for the note?

A) $3500
B) $5978.51
C) $4336.93
D) $6021.50
E) $4251.71