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On December 1, Donaldson Company borrowed $10,000 from Pauline Company, giving a 60-day, 12% note. If the correct adjusting entry is made on December 31,

On December 1, Donaldson Company borrowed $10,000 from Pauline Company, giving a 60-day, 12% note. If the correct adjusting entry is made on December 31, Donaldson's entry at maturity is:

Select one:

A.
Notes Payable 10,000
Cash 10,000
B.
Notes Payable 10,000
Interest Payable 100
Interest Expense 100
Cash 10,200
C.
Notes Payable 10,000
Interest Expense 200
Cash 10,200
D.
Notes Payable 10,000
Interest Payable 200
Cash 10,200
E. None of the above

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