Bonds Question: Torrance Corporation issues 10-year bonds with a face value of $12,000,000 and a stated annual interest rate of 7%. The bonds pay interest annually on December 31. The market rate of interest on the date of issue is 8%. What journal entry will the company make to record the bond issue? O Dr. Cash 12,000,000 Cr. Bonds Payable 12,000,000 Dr. Cash 11,184,580 Dr. Discount on Bonds Payable 815,420 Cr. Bonds Payable 12.000.000 Dr. Cash 11.194.790