On October 1, 2008, Sinatra Corporation Issued 5%, 10-Year Bonds

On October 1, 2008, Sinatra Corporation issued 5%, 10-year bonds with a par value of $300,000 at 104. Interest is paid on October 1 and April 1. The entry to record the issuance of the bonds would include a

A) credit of $7,500 to Accrued Interest Payable.
B) credit of $12,000 to Premium on Bonds Payable.
C) credit of $288,000 to Bonds Payable.
D) debit of $12,000 to Discount on Bonds Payable.