On January 1, 2016, Tonika Company issued a four-year, $10,000, 7% bond. The interest is payable annually each December 31. The issue price was $9,668 based on an 8% effective interest rate. Tonika uses the effective-interest amortization method. Rounding calculations to the nearest whole dollar, which of the following journal entries correctly records the 2016 interest expense? Select one: A. Interest expense Bond discount 883 183 700 Cash B. Interest expense Cash 700 700 C. Interest expense Bond discount Cash 676 24 700 D. Interest expense 773 Bond discount 73 700 Cash