Upon collection of the amount due on an interest-bearing promissory note from a customer, the accountant would debit Cash, credit Notes Receivable, and A. debit Interest Expense. B. credit Interest Income. C. credit Interest Expense. D. debit Interest Income. On August 3, Marley's Sporting Goods accepted a six month promissory note from J. J. Brown, who owed $490 on account. (J. J. had needed more time to pay his balance.) The promissory note had an annual 10 percent interest rate. The journal entry on August 3 to record the transaction would be: A) Accounts Receivable ............................... 490 Notes Receivable ............................... 490 B) Cash ............................... 490 Notes Receivable ............................... 490 C) Cash ............................... 490 Accounts Receivable ............................... 490 D) Notes Receivable ............................... 490 Accounts Receivable ............................... 490