On January 1, Bloomingdale, Inc. borrows $138,000 from First Estate Bank. The loan is due in one year along with 4% interest. The company is preparing its quarterly report for March 31. Which of the following best describes the necessary accrual for interest expense? Select one: a. \$1,380 increase liabilities, increase expenses b. $5,520 increase expenses, decrease cash c. \$1,380 decrease liabilities, decrease cash d. $5,520 increase liabilities, decrease expenses e. $5,520 decrease liabilities, decrease cash