Which of the following is a claims exchange transaction? Multiple Choice Paid interest on a note payable. Issued a note to purchase equipment. O Accrued interest on a note payable. Repaid principal on a note payable. On August 1, Year 1 Gin Company borrowed $50,000 cash. The one-year note carried a 6% rate of Interest. Which of the following shows how the accrual of interest expense in Year 1 will affect Gin's financial statements? Balance Sheet Income Statement A. B. c. D. Assets n/a n/a (1,750) n/a = Liabilities + 1,250 1,250 (1,750) 1,750 Stockholders Equity (1,250) (1,250) n/a (1,750) Revenue n/a n/a n/a / Expense 1.250 1,250 n/a 1,750 Net Income (1,250) (1,250) n/a (1,750) Statement of Cash Flows n/a 1,250 IA (1,750) IN n/a Multiple Choice Choice A Choice Choice