On January 1,Jewel Company Buys $200,000 of Marcelo Corp

On January 1,Jewel Company buys $200,000 of Marcelo Corp.12%,36-month notes.Interest is paid on the last day of each month.The notes are classified as available-for-sale securities.This is the company's first and only investment in available-for-sale securities.On December 31,the notes have a fair value of $204,000.The impact on Jewel's net income as a result of its investment in Marcelo Corp.was a(n) :

A) Increase to income of $24,000.
B) Increase to income of $28,000.
C) Increase to income of $2,000.
D) Decrease to income of $24,000.
E) Decrease to income of $28,000.