3. Fran Co. owes National Bank a 10 year, 15% note in the amount of $100,000, plus $30,000 accrued interest. Because of financial difficulty, Fran has been unable to make annual interest payments for the past 2 years, and the note is due today. Accordingly the Bank restructured Frans debt as follows: 1. The $30,000 of accrued interest was forgiven, 2. Fran was given 3 more years to pay off the debt at 8% interest, the payments to be made annually at year end. Fran would properly record the restructuring and the payment for the first year as (a) An increase in interest expense of $8,000 and a gain of $2,000 (b) A decrease in accrued interest of $8,000 (c) A decrease in accrued interest of $8,000 and again of $2,000 (d) A decrease in accrued interest of $30,000 and a gain of $6,000