A Bank Loaned Atlas Company $10,000 on a 1-Year,6% Note,but

Multiple Choice

A bank loaned Atlas Company $10,000 on a 1-year,6% note,but deducted the interest in advance.The journal entry made by Atlas to record receipt of the cash would include a

A) an increase in Cash for $9,400
B) an increase in Cash for $600
C) a decrease in Notes Payable for $10,600
D) a decrease in Notes Payable for $9,400