On September 10, 2016, Humbert Company Issued Bonds with a Face

On September 10, 2016, Humbert Company issued bonds with a face value of $600,000 for a price of 102. During 2017, Humbert exercised a call provision and redeemed the bonds for 101. At the time of the redemption, the bonds had a book value of $607,000. The journal entry to record the redemption includes:

A) a credit to Gain on Bond Redemption for $13,000.
B) a debit to Premium on Bonds for $7,000.
C) a credit to Discount on Bonds for $7,000.
D) a credit to Bonds Payable for $600,000.