Pineapples Corp. is in need of cash. It issues bonds with a $2 million face value. The bonds have an 8.48% coupon rate. The market rate is 6%. The bonds have a life of 10 years, and are compounded semiannually. Pineapples Corp. issues the bonds on 1/1/2022.

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What is the journal entry at Pineapple Corp. will record on 12/31/22?

Question 7 options:

	Dr. Interest Expense $84,800 Cr. Cash $84,800
	Dr. Interest Expense $70,657 Cr. Cash $70,657
	Dr. Interest Expense $70,657 Dr. Premium $14,143 Cr. Cash $84,800
	Dr. Interest Expense $70,657 Dr. Discount $14,143 Cr. Cash $84,800