Grayson Bank agrees to lend the Trust Company $100,000 on January 1. Trust Company signs a $100,000, 8%, 9-month note. The entry made by Trust Company on January 1 to record the proceeds and issuance of the note is
A) Interest Expense 8,000Cash 92,000Notes Payable 100,000
B) Cash 100,000Notes Payable 100,000
C) Cash 108,000Interest Expense 8,000Notes Payable 108,000
D) Notes Payable 100,000Interest Payable 6,000Cash 100,000Interest Expense 6,000
B
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