On the first day of the fiscal year, Hawthorne Company obtained an $88,000, 7-year, 5% installment note from Sea Side Bank. The note requires annual payments of $15,208, with the first payment occurring on the last day of the fiscal year. The first payment consists of interest of $4,400 and principal repayment of $10,808. The entry Hawthorne would make to journalize the first annual payment due on the note would include a

a. debit to Notes Payable for $15,208

b. debit to Cash for $15,208

c. credit to Notes Payable for $10,808

d. debit to Interest Expense for $4,400