On October 1, 2018, Campbell Limited borrows $80,000 from Mega Bank by signing a 3-month, $80,000, 4% bank loan. Interest is due the first of each month. What adjusting entry is required at December 31, 2018?

1)	Interest Payable 800 Interest Expense 800

2)	Interest Expense 800 Interest Payable 800

3)	Interest Expense 267 Interest Payable 267

4)	Interest Expense 267 Bank Loan Payable 267