On January 1, 2013, Jacob Issues $600,000 of 11%, 15-Year $\begin{array}{|c|r|r|}\hline \text { Cash } & 600,000 & \\\hline \text { Bonds Payable } & & 600,000 \\\hline\end{array}$

On January 1, 2013, Jacob issues $600,000 of 11%, 15-year bonds at a price of 102½. What is the journal entry to record the issuance of these bonds?

A) $\begin{array}{|c|r|r|}\hline \text { Cash } & 600,000 & \\\hline \text { Bonds Payable } & & 600,000 \\\hline\end{array}$
B) $\begin{array}{|c|r|r|}\hline \text { Bonds Payable } & 600,000 & \\\hline \text { Cash } & & 600,000 \\\hline\end{array}$
C) $\begin{array}{|l|r|r|}\hline \text { Cash } & 615,000 & \\\hline \text { Bonds Payable } & & 600,000 \\\hline \text { Premium on Bonds Payable } & & 15,000 \\\hline\end{array}$
D) $\begin{array}{|l|r|l|}\hline \text { Cash } & 600,000 & \\\hline \text { Premium on Bonds Payable } & 15,000 & \\\hline \text { Bonds Payable } & & 615,000 \\\hline\end{array}$
E) $\begin{array}{|l|r|l|}\hline \text { Cash } & 600,000 & \\\hline \text { Discount on Bonds Payable } & 9,000 & \\\hline \text { Bonds Payable } & & 609,000 \\\hline\end{array}$