ReckNRell Music Store borrowed $24,000 from the bank signing a 5%,3-month note on September 1. Principal and interest are payable to the bank on December 1 . If the company prepares monthly financial statements, the adjusting entry that the company should make for interest on September 30 , would be a. Debit Interest Expense, \$1,200; Credit Interest Payable, \$1,200. b. Debit Interest Expense, \$100; Credit Interest Payable, \$100. c. Debit Notes Payable, $1,200; Credit Cash, $1,200. d. Debit Cash, $300; Credit Interest Payable, $300