Lucid Auto borrowed $297,500 from the Halpert Bank by signing a 10-month, zero- interest-bearing note of $300,000 on 10/1/20x1. What is the journal entry for the interest by 12/31/20x1, assuming the interest is accrued only on 12/31/20x1? Dr. Interest expense $750 Cr. Interest Payable $750 Dr. Discount on Notes Payable $2,500 Cr. Interest expense $2,500 Dr. Interest Payable $750 Cr. Interest expense $750 Dr. Interest expense $750 Cr. Discount on Notes Payable $750