On November 15, 2010, Betty Corporation Accepted a Note Receivable $\begin{array} { | l | r | r | } \hline \text { Cash } & 138,460.00 & \\\hline \text { Notes Receivable } & & 138,460.00 \\\hline\end{array}$

Multiple Choice

On November 15, 2010, Betty Corporation accepted a note receivable in place of an outstanding accounts receivable in the amount of $138,460. The note is due in 90 days and has an interest rate of 7.5%. What is the appropriate journal entry to record at maturity?

A) $\begin{array} { | l | r | r | } \hline \text { Cash } & 138,460.00 & \\\hline \text { Notes Receivable } & & 138,460.00 \\\hline\end{array}$
B) $\begin{array} { | c | r | r | } \hline \text { Notes Receivable } & 138,460.00 & \\\hline \text { Accounts Receivable } & & 138,460.00 \\\hline\end{array}$
C) $\begin{array} { | l | r | r | } \hline \text { Notes Receivable } & 138,460.00 & \\\hline \text { Interest Revenue } & 2,596.13 & \\\hline \text { Cash } & & 141,056.13 \\\hline\end{array}$
D) $\begin{array} { | l | r | r | } \hline \text { Cash } & 138,460.00 & \\\hline \text { Interest Receivable } & 1,298.06 & \\\hline \text { Notes Receivable } & & 139,758.06 \\\hline\end{array}$
E) $\begin{array} { | l | r | r | } \hline \text { Cash } & 141,056.13 & \\\hline \text { Interest Revenue } & & 1,298.07 \\\hline \text { Interest Receivable } & & 1,298.06 \\\hline \text { Notes Receivable } & & 138,460.00 \\\hline\end{array}$