What happens when a wire with a current is placed in a magnetic field?

mechanical energy is transformed into electrical energy
electrical energy is transformed into mechanical energy
the wire becomes a permanent magnet
the current stops

When a wire with a current is placed in a magnetic field, a force is exerted on the wire due to the interaction between the magnetic field and the current. This force causes the wire to move, which means that mechanical energy is transformed into electrical energy. This phenomenon is known as electromagnetic induction and is the basis for many electrical devices such as generators and transformers. Therefore, the correct answer is: electrical energy is transformed into mechanical energy.