On December 1, 2021, ABC Company, borrows $25,000 cash to expand operations. The loan is made by First Bank under a short-term line of credit arrangement. The company signs a six-month, 9% promissory note. Interest is payable at maturity. ABC's year-end is December 31. Required: ABC Company should record which of the following adjusting entries at December 31, 2021? Dr. Interest expense and Cr. Interest payable, $188 O Dr. Interest expense and Cr. Interest payable, $375 O Dr. Interest expense and Cr. Cash, $188 O Dr. Interest expense and Cr. Cash, $375 What amount of cash will be needed to pay back the note payable plus any accrued interest on June 1, 2022? O $26,125 $27,250 $26,875 O $25,938 In connection with this note, ABC Company should report interest expense in 2022 for the amount of O$938 $2,250 $1,875 2143E