On November 1, Mcgonagall borrowed from Dumbledore, giving him a $12,000, 3 month, 9% note, interest payable at maturity. Mcgonagall made no entry after November 1. On December 31, the end of the accounting period, what entry would Mcgonagall make?

Select one:

A.

Interest Payable

180

Interest Expense

180

B.

Interest Expense

180

Interest Payable

180

C.

Interest Expense

180

Cash

180

D.

Interest Payable

180

Discount on Notes Payable

180