On May 22, Jarrett Company borrows $8,400, signing a 90-day, 6%, $8,400 note. What is the journal entry made by Jarrett Company to record the transaction?
a) Debit Cash $8,400; credit Accounts Payable $8,400.
b) Debit Accounts Payable $8,400; credit Notes Payable $8,400.
c) Debit Cash $8,526; credit Notes Payable $8,526.
d) Debit Cash $8,400; credit Notes Payable $8,400.
e) Debit Notes Receivable $8,400; credit Cash $8,400.