Manhattan Company Recorded an Adjusting Entry to Accrue Interest Owed $$\begin{array} { | l | r | r | } \hline \text { Iriterest Expernse } & 450 & \\\hline \text { Cash } & & 450 \\\hline\end{array}$$

Manhattan Company recorded an adjusting entry to accrue interest owed of $300 as of December 31,Year 1.When the related note was paid during Year 2,the company paid $450 in interest.Which of the following journal entries correctly records this Year 2 transaction? (Assume that the entry to record the payment of the note itself was recorded in a separate journal entry.)

A) $$\begin{array} { | l | r | r | } \hline \text { Iriterest Expernse } & 450 & \\\hline \text { Cash } & & 450 \\\hline\end{array}$$
B) $$\begin{array} { | l | r | r | } \hline \text { Iriterest Experse } & 450 & \\\hline \text { Cash } & & 300 \\\hline \text { Iriterest Payable } & & 150 \\\hline\end{array}$$
C) $$\begin{array} { | l | r | r | } \hline \text { Iriterest Expernse } & 150 & \\\hline \text { Cash } & & 150 \\\hline\end{array}$$
D) $$\begin{array} { | l | r | r | } \hline \text { Iriterest Expense } & 150 & \\\hline \text { Iriterest Payable } & 300 & \\\hline \text { Cash } & & 450 \\\hline\end{array}$$