Bart's spouse, Carla, dies during the current year.Carla's life insurance pol

icy names Bart the sole beneficiary of the $2 million proceeds.Bart invests the $2 million in a bank certificate of deposit (CD).For the current year, Bart earns $98,000 interest from the CD.What are the tax effects of these events for Bart？

I.The $98,000 is included in gross income.II.The $2 million is included in gross income.()

A、Only statement I is correct

B、Only statement II is correct

C、Both statements are correct

D、Neither statement is correct.