On November 1, Orpheum Company accepted a $11,200, 90-day, 9% note from a customer to settle an account. What entry should be made on November 1 to record the acceptance of the note?
A. Debit Sales $11,200; credit Accounts Receivable $11,200.
B. Debit Note Receivable $11,200; credit Cash $11,200.
C. Debit Note Receivable $11,200; credit Accounts Receivable $11,200.
D. Debit Note Receivable $11,200; credit Sales $11,200.
E. Debit Note Receivable $11,452; credit Accounts Receivable $11,200; credit Interest Revenue $252.
Answer: C
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