ewis Corporation issued $510,000 of 4%, 10-year bonds payable at a price of 90. The market interest rate at the date of issuance was 5%, and the bonds pay interest semiannually. The journal entry to record the first semiannual interest payment using the effective-interest amortization method is Question content area bottom Part 1 A. Date Accounts and Explanation Debit Credit Interest Expense 14,790 Discount on Bonds Payable 2,040 Cash 12,750 B. Date Accounts and Explanation Debit Credit Interest Expense 12,240 Discount on Bonds Payable 2,040 Cash 10,200 C. Date Accounts and Explanation Debit Credit Interest Expense 11,475 Discount on Bonds Payable 1,275 Cash 10,200 D. Date Accounts and Explanation Debit Credit Interest Expense 14,025 Discount on Bonds Payable 1,275 Cash 12,750

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