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Oriole Company purchased $1110000 of 8%, 5-year bonds from Carlin, Inc. on January 1, 2018, with interest payable on July 1 and January 1. The

Oriole Company purchased $1110000 of 8%, 5-year bonds from Carlin, Inc. on January 1, 2018, with interest payable on July 1 and January 1. The bonds sold for $1159896 at an effective interest rate of 7%. Using the effective interest method, Oriole Company decreased the Available-for-Sale Debt Securities account for the Carlin, Inc. bonds on July 1, 2018 and December 31, 2018 by the amortized premiums of $3348 and $3492, respectively.

At December 31, 2018, the fair value of the Carlin, Inc. bonds was $1191000. What should Oriole Company report as other comprehensive income and as a separate component of stockholders' equity?

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