Nance Co Holds Gant Inc

Nance Co. holds Gant Inc.'s $25,000, 120 day, 9% note. The entry made by Nance Co. when the note is collected, assuming no interest has previously been accrued is: $\begin{array}{llr}\text { a. Cash } .................................................................... & 25,000 & \\\text { Notes Receivable } .....................................................&& 25,000 \\ \\ \text { b. Accounts Receivable }............................................ & 25,750 \\\text { Notes Receivable } .....................................................& & 25,000 \\\text { Interest Revenue }..................................................... & & 750 \\ \\ \text { c. Cash } ....................................................................& 25,750 \\ \text { Notes Receivable } .....................................................& & 25,000 \\\text { Interest Revenue } .....................................................& & 750 \\ \\ \text { d. Accounts Receivable } ............................................& 25,750 & \\\text { Notes Revenue } ........................................................& & 25,000 \\\text { Interest Revenue } .....................................................& & 700\end{array}$