The correct answer is:
A. Moving an electrical conductor through Earth's magnetic field induces an electric current.
This is based on Faraday's law of electromagnetic induction, which states that a change in the magnetic environment of a coil or conductor will induce an electromotive force (EMF) and hence an electric current in the conductor. In this experiment, as the extension cord (which acts as a conductor) is swung through the Earth's magnetic field, it induces a current, which is detected by the galvanometer.