Taylor Bank lends Guarantee Company $94,441 on January 1. Guarantee Company signs a $94,441, 6%, 9-month, interest-bearing note. The entry made by Guarantee Company on January 1 to record the proceeds and issuance of the note is

a.

Interest Expense		4,250
Cash		90,191
Notes Payable			94,441

b.

Cash		94,441
Notes Payable			94,441

c.

Cash		98,691
Interest Expense			4,250
Notes Payable			94,441

d.

Notes Payable		94,441
Interest Payable		2,125
Cash			94,441
Interest Expense			2,125