Question 7 Assume the following account balances immediately after an interest payments date: Bonds Payable $200,000 Premium on Bonds Payable 10,00 If the bonds are retired immediately at a total cost of $205,000,000 the journal entry to record this event is: Cash 205,000 Loss on Bond Retirement 5,000 Premium on Bonds Payable Bonds Payable 10,000 200,000 Bonds Payable 200,000 Premium on Bonds Payable 10,000 Cash Gain on Bond Retirement 205,000 5,000 Bonds Payable 200,000 Loss on Bond Retirement 10,000 Premium on Bonds Payable Cash 5,000 205,000 None of these answers is correct