Answer:
Upon issuance, Ozark should "<em>Credit premium on bonds payable $100,000</em>"
Explanation:
Issue price of bond is ($10 million * $101) = $10,100,000
The face value of the bond                       = $10,000,000
The premium on bond = $10,100,000 - $10,000,000 
The premium on bond = $100,000
                                    Journal entry
                                                     Debit                   Credit
Cash                                        $10,100,000
Premium on bonds payable                                $100,000
Bonds payable                                                     $10,000,000
Conclusion: Upon issuance, Ozark should "Credit premium on bonds payable $100,000"