Interpreting Disclosures of Investment Securities Amgen Inc. reports the following disclosure relating to its accumulated other comprehensive income. b. Consider the securities held in the available-for-sale portfolio at December 31,2018 . Identify each of the following statements as true or false. i. At December 31, 2018, the fair value of the securities was $540 million less than their amortized cost. ii. At December 31, 2018, the fair value of the securities was $540 million greater than their amortized cost. iii. At December 31, 2018, the fair value of the securities was $540 million lower than their value at December 31 , 2017 . iv. At December 31, 2018, the fair value of the securities was $310 million lower than their value at December 31 , 2017. c. Consider the securities held in the available-for-sale portfolio at December 31,2018 . Identify each of the following statements as true or false in describing the change in the market value of those securities during the year i. Decreased by $540 million. ii. Decreased by $890 million. iii. Increased by $890 million. iv. Decreased by $306 million. d. Amgen increased AOCI by $584 million for reclassification adjustments to income. Identify each of the following statements as true or false in describing what this line item means. i. During 2018, Amgen sold available-for-sale securities and realized a loss of $584 million. ii. During 2018, Amgen sold available-for-sale securities and realized a gain of $584 million. iii. During 2018, Amgen sold available-for-sale securities that had unrealized gains of $584 million at December 31,2017. iv. During 2018, Amgen sold available-for-sale securities that had unrealized losses of $584 million at December 31, 2017. Interpreting Disclosures of Investment Securities Amgen Inc. reports the following disclosure relating to its accumulated other comprehensive income. b. Consider the securities held in the available-for-sale portfolio at December 31,2018 . Identify each of the following statements as true or false. i. At December 31, 2018, the fair value of the securities was $540 million less than their amortized cost. ii. At December 31, 2018, the fair value of the securities was $540 million greater than their amortized cost. iii. At December 31, 2018, the fair value of the securities was $540 million lower than their value at December 31 , 2017 . iv. At December 31, 2018, the fair value of the securities was $310 million lower than their value at December 31 , 2017. c. Consider the securities held in the available-for-sale portfolio at December 31,2018 . Identify each of the following statements as true or false in describing the change in the market value of those securities during the year i. Decreased by $540 million. ii. Decreased by $890 million. iii. Increased by $890 million. iv. Decreased by $306 million. d. Amgen increased AOCI by $584 million for reclassification adjustments to income. Identify each of the following statements as true or false in describing what this line item means. i. During 2018, Amgen sold available-for-sale securities and realized a loss of $584 million. ii. During 2018, Amgen sold available-for-sale securities and realized a gain of $584 million. iii. During 2018, Amgen sold available-for-sale securities that had unrealized gains of $584 million at December 31,2017. iv. During 2018, Amgen sold available-for-sale securities that had unrealized losses of $584 million at December 31, 2017
