Gravel Corporation borrowed $250,000 from a bank on January 1, 2019, by signing a 10%, six-month note. The journal entry made by Gravel on January 1, 2019, will debit

a. Interest Expense for $25,000 and credit Interest Payable for $25,000.

b. Cash for $225,000 and credit Notes Payable for $225,000.

c. Interest Expense for $25,000 and credit Cash for $25,000.

d. Cash for $250,000 and credit Notes Payable for $250,000.