Sanchez Sofas, a family-owned corporation, issued 6.75% bonds with a face amount of $12 million, together with 2 million shares of its $1 par value common stock, for a combined cash amount of $22 million. The market value of Sanchez's stock cannot be determined. The bonds would have sold for $9 million if issued separately. Sanchez should record paid-in capital - excess of par on the transaction in the amount of:

Multiple Choice

A. $13 million.

B. $9 million.

C. $11 million.

D. $8 million.