Barnes Company holds $88,000 of 8.5% bonds that mature in six years as a held-to-maturity security. Which of the following is the correct journal entry to record the receipt of the semiannual interest payment?

debit Cash, $3,740; credit Interest Revenue, $3,740.

debit Cash, $7,480; credit Unrealized Gain-Equity, $7,480.

debt Cash, $3,740; credit Long-Term InvestmentsHTM, $3,740.

debit Unrealized Gain-Equity, $3,740; credit Cash, $3,740.

debit Cash, $7,480; credit Long-Term InvestmentsHTM, $7,480.