On January 1, a company issues bonds dated January 1 with a par value of $370,000. The bonds mature in 5 years. The contract rate is 11%, and Interest is paid semiannually on June 30 and December 31. The market rate is 10% and the bonds are sold for $384,280. The Journal entry to record the first Interest payment using straight-line amortization is: (Rounded to the nearest dollar.) Multiple Choice O Debit Bond Interest Expense $21,778: credit Premium on Bonds Payable $1.428: credit Cash $20,350. Debit Interest Payable $20,350: credit Cash $20,350. C Debit Bond Interest Expense $21778: credit Discount on Bonds Payable $1.428: credit Cash $20,350. O Debit Bond Interest Expense $18.922; debit Discount on Bonds Payable $1,428; credit Cash $20.350. Debit Bond Interest Expense $18.922: debit Premium on Bonds Payable $1.428: credit Cash $20.350