Use the information below to answer the questions 5 to 7. Lyon County Bank agrees to lend Grimwood Brick Corporation $200,000 on January 1. Grimwood signs a $200,000, 4%, 9-month note. Interest is due at maturity. Question 5 (1 point) What entry will Grimwood Brick Corporation make to pay off the note and interest at maturity assuming that interest has been accrued to September 30? a) 3 Notes Payable Interest Payable Cash b) Interest Expense Notes Payable Cash Interest Payable Notes Payable Interest Expense Cash Notes Payable Cash 200,000 6,000 206,000 6,000 200,000 206,000 4,000 200,000 2,000 206,000 206,000 206,000 33 d) Question 6 (1 point) The entry made by Grimwood Brick Corporation on January 1 to record the proceeds and issue of the note is *** a) Cash ...... Interest Expense Notes Payable Interest Payable O) Cash ..... Interest Expense Notes Payable 200,000 6,000 200,000 6,000 200,000 6,000 206,000 200,000 200,000 6,000 194,000 200,000 Oc) Cash Notes Payable Interest Expense d) Cash Notes Payable Question 7 (1 point) What is the adjusting entry required if Grimwood Brick Corporation prepares financial statements on June 30? a) Interest Payable Interest Expense b) Interest Payable Cash Oc) Interest Expense Cash 4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000 27 d) Interest Expense Interest Payable