For reference, I'm using a fairly old (Greenie) M5 and a '04 520, so it is possible that there are variants. I believe that the answer is that you could modify the 500 carriage to use the wheel but you cannot simply remove the handle and replace it with the wheel.
Among the differences, on the 520 the wheel is mounted close to the carriage and the table tilt is spaced away from the carriage. On the '500' it is the opposite, with the table height handle spaced away and the table tilt close relative to the carriage. Differences in the carriage lock would also interfere if the wheel were positioned close to the 500 carriage.
I think the minimum modification would be to add a spacer (approx. 1 inch) between the wheel and the carriage on the 500. This should move the wheel and handle away from the tilt lock and carriage lock, at the same time getting its position right on the pinion shaft. This is similar to the original where the lever is spaced outward by the 'pinion lock.' I'm not able to test this, I don't have a 500 carriage/table set up. My 'approx. 1 inch' would also have to be more carefully determined, it is not a precision thing but you don't want to run out of threads for the lock.
I hope this helps, I can provide pictures if needed.
Edit: The previous response (link) is much better because folks actually tested it. I'm going to delete this post soon.