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Anw Timothy Company purchased as a long-term investment $500,000 of 4% bonds, dated July 1, on July 1, 2021. Management has the positive intent and
Anw Timothy Company purchased as a long-term investment $500,000 of 4% bonds, dated July 1, on July 1, 2021. Management has the positive intent and ability to hold the bonds until maturity. For bonds of similar risk and maturity the market yield was 79. The price paid for the bonds was $393,407. Interest is received semiannually on June 30 and December 31. Due to changing market conditions, the fair value of the bonds at December 31, 2021, was $410,000. At what amount will Timothy report its investment in the December 31, 2021 balance sheet? S400.945 $410,000 S402.245 S397,176 Ali Shah
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