A company received cash proceeds of $206,948 on a bond

A company received cash proceeds of $206,948 on a bond issue with a par value of $200,000. The difference between par value and issue price for this bond is recorded as a:

a) Debit to Premium on Bonds Payable.

b) Credit to Interest Income.

c) Credit to Discount on Bonds Payable.

d) Credit to Premium on Bonds Payable.

e) Debit to Discount on Bonds Payable.