On January 31, 2020, Combinor Company issued $900,000 face amount of 9%, 10-year bonds due January 31, 2030, with a present value of $965,423 at a 8% yield, to Combinee Company for its net assets. The journal entry for the merger includes the following except:

a.

Credit to bonds payable $900,000.

b.

Credit to discount on bonds payable $65,423.

c.

Credit to premium on bonds payable $65,423.

d.

Debit to investment in combinee net assets $965,423.