Small Business Bank Loaned $9,000 to Weidenhammer Company on May $\begin{array} { l l l } \text { Accrued interest receivable } & 480 & \\\text { Interest revenue } & & 480 \\\end{array}$

Small Business Bank loaned $9,000 to Weidenhammer Company on May 1,2012,accepting a 2-year,8% note.The bank recorded the transaction properly on May 1.No other journal entry pertaining to the note has been made since May 1.As of year-end on December 31,2012,what adjusting entry will the bank make with respect to this note?

A) $\begin{array} { l l l } \text { Accrued interest receivable } & 480 & \\\text { Interest revenue } & & 480 \\\end{array}$

B) $\begin{array}{lccc}\text { Notes receivable } & 480 & \\\quad \text { Interestrevenue } & & 486 \\\end{array}$

C) $\begin{array}{lccc}\text { Accrued interest receivable } & 720 & \\\text { interestrevenue } & & 720 \\\end{array}$

D) $\begin{array}{lccc}\text { Notes receivable } & 720 & \\\quad \text { nnterestrevenue } & & 720 \\\end{array}$

E) $\begin{array}{lccc}\text { Unearned interest } & 720 & \\\text { interestrevenue } & & 720\end{array}$