The Amazing Widget Company issues $500,000 of 6%, 10-year bonds at 103 on March 31, 2014. The bond pays interest on March 31 and September 30. The market rate of interest on the issuance date was 4%. Assume the company uses the straight-line method for amortization. The journal entry to record the issuance would include a:

Select one:

A. credit to Discount on bonds payable for $15,000.

B. debit to Cash for $500,000.

C. credit to Bonds payable for $515,000.

D. debit to Cash for $515,000.