In 2015, Osgood Corporation purchased $8.8 million in 10-year municipal bonds at face value. On December 31, 2016, the bonds had a market value of $4,600,000 and Osgood reclassified the bonds from held to maturity to trading securities. Osgood's December 31, 2016, balance sheet and the 2016 income statement would show the following:

Balance sheet Investment in municipal bonds Income statement Loss on investments

A)$8,800,000 $4,200,000

B)$4,600,000 $4,200,000

C)$4,600,000 $0

D)$8,800,000 $0