On July 1, Shady Creek Resort borrowed $300,000 cash by signing a 10 year, 6% installment note requiring equal payments each June 30 of $40,760. What is the journal entry to record the first annual payment? Multiple Choice 0 Debit Cash $300,000; debit interest Expense $40,760, credit Notes Payable $340,760 0 O Debit Interest Expense $40,760, credit Cash $40.760. 0 Debe interest Expense S18.000; Credit Cash $18.000. 0 Debit Interest Expense $18.000: debit interes $40,760 IN 2.760: credit Cash SEE 0 c) Debit interest Expense $18.000. oebit Notes Payable $22760, credit Cash $40,760