Use this information for the next two questions: Your Company issued, at 105, $500,000 of 20-year bonds on 1/1/17 that pay 3% (annual rate) on a semi-annual basis each June 30' and December 31". 9. Select the entry that correctly records the issue of the bonds Account Titles Debit Credit A. B. C. Cash 500,000 Premium 25,000 Bond Payable 475,000 Cash 500,000 Bond Payable 500,000 Cash 525,000 Premium 25,000 Bond Payable 500,0001 Cash 525,000 Bond Payable 525,000 Cash 500,000 Premium 25,000 Bond Payable 525,000 D. E. 10. What is the amount of interest expense on the bonds recorded on 6/30/17? A. $15,000 B. $7,500 C. $13,750 D. $6,875 E. $8,125