25. On October 1, 2021 PSH Co. borrows $125,000 from PNC Bank on a 3-month, $125,000, 8% note. (Maturity is January 1 2022) What entry must PSH Co. make on December 31 before financial statements are prepared? Answer: a. 2,500 2,500 10,000 10,000 Interest Payable..... Interest Expense. b. Interest Expense.. Interest Payable.......... c. Interest Expense ..... Interest Payable d. Interest Expense..... Notes Payable 2,500 2,500 2,500 2,500