On January $1,2022,$ Teal Company purchased $12\%$ bonds having a maturity value of $$610,000$ for $$656,247\mathrm{.}03.$ The bonds provide

the bondholders with a $10\%$ yield. They are dated January $1,2022,$ and mature January $1,2027,$ with interest receivable December $31$

of each year. Teal elected the fair value option for this held$-$for$-$collection investment.