Thirty $1,000 bonds with a carring value of $38,400 are convereted into 3,000 shares of $5 par value common stock.The common stock had a market value of $9 per share on the date of conversion. The entry to record the coversion ?
A)Bonds Payable 38,400
common stock 15,000
Paid-in Capital in Excess of par 23,400
B)Bonds Payable 30,000
premium on bonds payable 8,400
common stock 27,000
paid-in capital in excess of par 11,400
C)Bonds payable 30,000
Premium on bonds payable 8,400
common stock 15,000
paid-in capital in excess of par 23.400
D)Premium on bonds payable 38,400
common stock 27,000
paid-in capital in excess of par 11,400