Nico's Taco Shop borrowed $112,000 cash on September 1, 2019, and signed a one-year, 6 percent note with a bank. Assume no adjusting entries have been made during the year. Which of the following would be the required adjusting entry at the end of the December 31, 2019 accounting period?

• Interest expense	2,240
  Interest payable		2,240

• Notes payable	112,000
  Interest expense	6,720
  Cash		118,720

• Interest payable	2,240
  Interest expense		2,240

• Interest expense	6,720
  Interest payable		6,720