On May 1, 2021, Crane Company issued $3500000 of 7% bonds at 103, which are due on April 30, 2031. Twenty detachable stock warrants entitling the holder to purchase for $40 one share of Crane's common stock, $15 par value, were attached to each $1000 bond. The bonds without the warrants would sell at 96. On May 1, 2021, the fair value of Crane's common stock was $36 per share and of the warrants was $2. On May 1, 2021. Crane should record the bonds with a O discount of $35000. O premium of $105000. O discount of $140000. O discount of $39200