A. On October 1, 20Y9, the company paid-off the note payable that was outstanding at the beginning of the period. The note was issued on October 1, 20Y8 with a 6% interest rate. It required semi-annual interest payments on March 31 and September 30. B. On November 1, 20Y9, the company borrowed $4,500 on a new 1-year note payable. This note carries a 4% interest rate with similar payment terms as the note that was just paid-off