A Company Sells a Bond with a Face Value of $10,000

Multiple Choice

A company sells a bond with a face value of $10,000 and receives a premium of $800.Using the bonds payable,net shortcut,the company would make the following journal entry:

A) Debit Cash for $10,800 and credit Bonds Payable,net for $10,800.
B) Debit Cash for $10,800,credit Bonds Payable,net for $10,000,and credit Bond Premium for $800.
C) Debit Cash for $10,000 and debit Interest Expense for $800,credit Bonds Payable,net for $10,000 and credit Bond Premium for $800.
D) Debit Cash for $10,000,debit Interest Expense for $800,credit Bonds Payable for $10,000 and credit Bond Premium for $800.