Carlos borrows $3,000 from the bank at 8% for 90 days on November 1. Which of the following is the journal entry on November 1, when the loan is made?

a. Cash 3,000 Notes Payable 3,000

b. Cash 3,000 Notes payable 100 Interest expense 40 Interest payable 3,060

c. Notes payable 3000 Cash 3,000

d. Interest expense 240 Interest payable 240