Jackson Corporation issued $1,000,000 in bonds. The bonds were sold at a price of 104. The entry to record the issuance by Jackson is:

• A. Debit Cash $1,040,000, Credit Premium on Bonds Payable $40,000, Credit Bonds Payable $1,000,000
• B. Debit Cash $1,000,000, Debit Premium on Bonds Payable $40,000, Credit Bonds Payable $1,040,000
• C. Debit Cash $1,040,000, Credit Discount on Bonds Payable $40,000, Credit Bonds Payable $1,000,000
• D. Debit Cash $1,040,000, Credit Bonds Payable $1,040,000