on April 1, 20X0, your company finances partial payment of the sale of machinery to a customer for $20000, 3 year, 8% note receivable. Interest is payable annually on April 1. On December 31, 20X0, an adjusting entry debits Interest receivable and credits interest revenue for $1600. The entry necessary to correct the error before the books are closed would include…

A.) a $400 debit to interest Revenue B.) a $400 credit to interest Expense C.) a $400 credit to Unearned Interest Receivable D.) a $400 credit to sales