On October 1, Eli's Carpet Service borrows $300,000 from First National Bank on a 5-month, $120,000, 8% note. The entry by Eli's Carpet Service to record payment of the note and accrued interest on January 1 is Select one: a. .127,500 Notes Payable. Cash... 127,500 b. Notes Payable... Interest Payable.. 125,000 10,000 Cash.. 135,000 C. Notes Payable... Interest Expense... Cash... 127,500 125,000 2,500 d. Notes Payable.. Interest Payable.. .125,000 2,500 Cash... 127,500 e. The answer does not exist