Record the interest expense entry for a \$50,000 bond with a \$3,000 discount using straight-line amortization, with semiannual payments.

• A. Debit Interest Expense \$2,250, Credit Cash \$2,250
• B. Debit Interest Expense \$2,550, Credit Cash \$2,550
• C. Debit Interest Expense \$2,550, Credit Discount on Bonds Payable \$300, Credit Cash \$2,250
• D. Debit Interest Expense \$2,250, Credit Discount on Bonds Payable \$300, Credit Cash \$2,550

Answer: (C)