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Gibraltar Company borrows $55,200 on July 31, 2021, from the East Coast Bank by signing a one-year, 5% note. Interest is payable at maturity. Assuming

Gibraltar Company borrows $55,200 on July 31, 2021, from the East Coast Bank by signing a one-year, 5% note. Interest is payable at maturity. Assuming Gibraltar has a December 31 fiscal year end, how much interest expense will Gibraltar record in 2021?

$0

$1,150

$1,380

$2,760

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