Morrison Corporation borrowed? $45,000 from Commercial Bank on June 1 of the current year. The bank required? 9% interest. Interest will be paid every three months until the? 9-month note is paid. What is the total Interest Expense and the Interest Payable at December 31 of the current? year?
A. Interest Expense? $2,362.50; Interest Payable? $337.50
B. Interest Expense? $2,362.50; Interest Payable? $2362.50
C. Interest Expense? $337.50; Interest Payable? $337.50
D. Interest Expense? $3,037.50; Interest Payable? $2362.50