On January 1, Xiang Corporation issues \($500,000,\) 5-year, 12% bonds at 96 with interest payable on January 1. The entry on December 31 to record accrued bond interest and the amortization of bond discount using the straight-line method will include a:

(a) debit to Interest Expense \($57,600.\)

(b) debit to Interest Expense \($60,000.\)

(c) credit to Discount on Bonds Payable \($4,000.\)

(d) credit to Discount on Bonds Payable \($2,000.\)