On 1 July 2017, a Company Redeemed Its $200 000

On 1 July 2017, a company redeemed its $200 000 debenture liability using its available cash on hand. The terms of the debenture issue provided that a premium of 5% was to be paid on redemption of the debentures. Which of the following is the entry to record the redemption? $\begin{array}{llr}\text { Debentures } & \text { Dr } & 210000 \\\text { Redemption revenue} & \mathrm{Cr} & 10000\\\text { Cash } & \mathrm{Cr} & & 200000\end{array}$

$\begin{array}{llll}\text { Debentures } & \mathrm{Dr} & 210000 & \\\text { Cash } & \mathrm{Cr} & & 210000\end{array}$

$\begin{array}{llrl}\text { Expense on redemption of debentures } & \text { Dr } & 10000 & \\\text { Debentures } & \mathrm{Dr} & 200000 & \\\text { Cash } & \mathrm{Cr} & & 210000\end{array}$

$\begin{array}{llr}\text { Debentures } & \text { Dr } & 200000 \\\text { Premium on redemption } & \mathrm{Cr} && 10000\\\text { Cash } & \mathrm{Cr} & &190000\end{array}$