Evermaster Corporation issued $$100,000$ of $8\%$ term bonds on January $1,2014,$ due on January $1,2019,$ with interest payable each July $1$ and January $1.$ Investors require an effective$-$interest rate of $12\%.$ Record the journal entry of issuance at January $1,2014$ and the joumal entry of first interest payment at July $1,2014.$

PV of $)=10,i=(6\%$ factor $=0\mathrm{.}55839$

PV of ordinary annuity $)=10,i=(6\%$ factor $=7\mathrm{.}36009$

Which of the following statement is correct?

A$.$ To record the joumal entry of issuance of bond on $1/1/2014$

Cash

$85,279$

Discount on bond payable

$14,721$

Bond payable

$100,000$

B$.$ To record the journal entry of issuance of bond on $\frac{1}{1}\frac{?}{2014}$

Cash $85279$

Discount on bond payable

$14,721$

Bond payable

$70\mathrm{.}558$

C$.$ To record the joumal entry of issuance of bond on $1/1/2014$

Cash

$86,396$

Discount on bond payable

$1,117$

Bond payable

$85,279$

D$.$ To record the journal entry of issuance of bond on $\frac{1}{1}\frac{?}{2014}$

Cash $87,513$

Discount on bond payable

$1,117$

Bond payable

$85,279$