A company $100 million of fixed interest rate bonds payable at $98 million. At year-end, the bonds were selling in the bond market at $97 million. What entry would Moore Company make at year-end to record the change in selling price?
A. Debit Bonds Payable $1 million, Credit Interest Expense $1 million
B. Debit Bonds Payable $3 million, Credit Interest Expense $3 million
C. Debit Investment in Bonds $1 million, Credit Interest Revenue $1 million
D. No entry is necessary