Clinton, Inc. purchased $100,000 of Hope Corporation bonds at 100. The bond interest rate is 8% and interest is paid semi-annually. The journal entry to record the receipt of interest on the next interest payment date would be:
a. Debit: Interest Revenue $4,000; Credit: Cash $4,000.
b. Debit: Cash $8,000; Credit: Interest Revenue $8,000.
c. Debit: Cash $4,000; Credit: Interest Revenue $4,000.
d. Debit: Cash $4,000; Credit: Interest Receivable $4,000.