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On January 1, a company issues bonds dated January 1 with a par value of $290,000. The bonds mature in 5 years. The contract rate is 7%, and interest is paid semiannually on June 30 and December 31. The market rate is 6% and the bonds are sold for $302,371. The journal entry to record the issuance of the bond is: Multiple Choice Debit Cash $302,371; credit Bonds Payable $302,371. Debit Cash $290,000; debit Premium on Bonds Payable $12,371; credit Bonds Payable $302,371. Debit Bonds Payable $290,000; debit Interest Expense $12,371; credit Cash $302,371. Debit Cash $302,371; credit Discount on Bonds Payable $12,371; credit Bonds Payable $290,000. Debit Cash $302,371; credit Premium on Bonds Payable $12,371; credit Bonds Payable $290,000