John Deere borrowed $100,000 cash on September 1, 2019, and signed a one year 6%, interest bearing note payable. Assume no adjusting entries have been made during the year. Which of the following would be the required adjusting entry at the end of Dec 31 2019 accounting period? A. Debit Notes payable 100,000 Debit Interest expense 6,000 Credit Cash 106,000 B. Debit interest expense 6,000 Credit interest payable 6,000 C. Debit interest expense 2,000 Credit interest payable 2,000 D. Debit interest payable 2,000 Credit interest expense 2,000

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A: 1.

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