Clayton Company borrowed $6,200 from the State Bank on April 1, Year 1. The one-year note carried a 8% rate of interest. The amount of interest expense that Clayton would report in Year 1 and Year 2, respectively would be Multiple Choice $372 and $0. $0 and $496. $372 and $124. $496 and $0.

Year 1 and Yoor 2 , respectively would be Mulppe Choce 3m2 and 50 so and \$496. 5372 and 5124 s4p6 and 50