On Its December 31, 2007, Balance Sheet, Quinn Co

On its December 31, 2007, balance sheet, Quinn Co. reported its investment in available-for-sale securities, which had cost $600,000, at fair value of $550,000. At December 31, 2008, the fair value of the securities was $585,000. What should Quinn report on its 2008 income statement as a result of the increase in fair value of the investments in 2008?

A) $0
B) Unrealized loss of $15,000
C) Realized gain of $35,000
D) Unrealized gain of $35,000