In Years Subsequent to the Year One Member of a Consolidated

In years subsequent to the year one member of a consolidated group purchases bonds from outside parties, Consolidated Income Statements:

A) recognize a prorated share of any gain or loss from intercompany bonds.
B) recognize a prorated share of any gain but would not show a share of a loss from intercompany bonds.
C) recognize a prorated share of any loss but would not show a share of a gain from intercompany bonds.
D) would not recognize any gain or loss from intercompany bonds.