Assume Adam borrows $1,000 from Eve and gives her a Note which matures in 6 months and the borrowing rate is 8% per annum. If Adam prepares financial statements prior to the maturity date of the note, he will have to make an adjusting entry to set up the interest income earned If the note is paid on maturity then Eve will record $80 in interest income O None of the above statements are correct If the note is dishonoured on maturity then Eve will set up a receivable for more than $1,000 If the note is paid on maturity then Eve will record $40 in interest expense