On October 1, 2022, Nespresso sold some merchandise to Gloria Jeans Coffee for $84,000. In payment, Nespresso agreed to accept a 7% note requiring the receipt of interest and principal on June 30, 2023. Assume all correct adjusting entries were made at year-end, December 31, 2022. The journal entry, for Nespresso, on the collection date, June 30, 2023 would include a:

Select one:

a. $1,470 credit to interest receivable

b. $6,860 debit to interest payable

c. $4,410 credit to interest revenue

d. $2,940 debit to interest expense

e. $84,000 debit to note receivable