JMR Ltd. issued $300,000 of 7%, 8 year, non-convertible bond with detachable stock purchase warrants. KER Corp. purchased the entire issue. Each $1,000 bond carries 20 warrants. Each warrant entitles KER to purchase one common share for $20. The bond issue sells for 104 exclusive of accrued interest. Shortly after issuance, the warrants trade for $5 each and there was no market value for the bond. In the journal entry, the amount of the payable for the bond is:

Select one:

a.

$321,000

b.

$300,000

c.

$350,000

d.

$349,000

e.

$339,000