Ban Co Purchased 50, 5% Waylan Company Bonds for $50,000 Cash

Ban Co. purchased 50, 5% Waylan Company bonds for $50,000 cash plus brokerage fees of $500. Interest is payable semiannually on July 1 and January 1. The entry to record the July 1 semiannual interest payment would include a

A) debit to Interest Receivable for $1,250.
B) credit to Interest Revenue for $1,250.
C) credit to Interest Revenue for $1,262.50.
D) credit to Debt Investments for $1,262.50.