Beta Corporation issued a $300,000, 8%, 20-year note. Betas annual payments are $30,556. How should Beta initially record the issuance of this loan?

• A :

  Cash = Debit of $269,444; Notes Payable = Credit of $269,444

• B :

  Cash = Debit of $300,000; Notes Payable = Credit of $300,000

• C :

  Notes Payable = Debit of $300,000; Cash = Credit of $300,000

• D :

  Notes Payable = Debit of $330,556; Cash = Credit of $330,556