On August 1, 2008, Witten Co $\begin{array}{llr} \text {Available-for-Sale Securities. } &198,500\\ \text { Cash } &&198,000\\\end{array}$

On August 1, 2008, Witten Co. acquired 200, $1,000, 9% bonds at 97 plus accrued interest. The bonds were dated May 1, 2008, and mature on April 30, 2014, with interest paid each October 31 and April 30. The bonds will be added to Witten's available-for-sale portfolio. The preferred entry to record the purchase of the bonds on August 1, 2008 is

A)
$\begin{array}{llr} \text {Available-for-Sale Securities. } &198,500\\ \text { Cash } &&198,000\\\end{array}$

B)
$\begin{array}{llr} \text {Available-for-Sale Securities. } &194,000\\ \text { Interest Receivable}&4,500\\ \text { Cash } &&198,000\\\end{array}$

C)
$\begin{array}{llr} \text {Available-for-Sale Securities. } &194,000\\ \text { Interest Revenue}&4,500\\ \text { Cash } &&198,500\\\end{array}$

D)
$\begin{array}{llr} \text {Available-for-Sale Securities. } &200,000\\ \text { Interest Revenue}&4,500\\ \text { Discount on Debt Securities}&&6,000\\ \text { Cash } &&198,000\\\end{array}$