On August 1, 2014, Dambro Company acquired 800, $1,000, 9% bonds at 97 plus accrued interest. The bonds were dated May 1, 2014, and mature on April 30, 2020, with interest paid each October 31 and April 30. The bonds will be added to Dambros available-for-sale portfolio. The preferred entry to record the purchase of the bonds on August 1, 2014 is

a. Debt Investments.................................................................... 794,000

Cash............................................................................ 794,000

b. Debt Investments.................................................................... 776,000

Interest Receivable.................................................................. 18,000

Cash............................................................................ 794,000

c. Debt Investments.................................................................... 776,000

Interest Revenue..................................................................... 18,000

Cash............................................................................ 794,000

d. Debt Investments.................................................................... 800,000

Interest Revenue..................................................................... 18,000

Discount on Debt Investments..................................... 24,000

Cash ........................................................................... 794,000