In 2016, Cunningham Company determined that it did not accrue $15,000 of interest expense in 2015, which caused a material overstatement of income. Assuming a 35% tax rate, which of the following presents the journal entries that would correct the error?

Retained Earnings (debit) a) 15,000 b) 15000 c) 9750 d) 5250

Interest Payable (credit) a) 15000 b) 15000 c) 9750 d) 5250

Income Tax Receivable (or Payable) (debit) a) 15000 b) 5250 c) 5250 d) 9750

Retained Earnings (credit) a)15000 b) 5250 c) 5250 d) 9750

Which letter selection is correct?