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Please help!! Target Corporation prepares its financial statements according to U.S. GAAP. Target's financial statements and disclosupe notes for the year ended February 1,2020, are
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Target Corporation prepares its financial statements according to U.S. GAAP. Target's financial statements and disclosupe notes for the year ended February 1,2020, are avallable here. This material also is avaifable under the investor Relations link at the companys website Gowntargeticom). Target does not have itvestments in stock or bonds. However. CVS Health Corporation, which purchased Targetis pharmacy and clinical business during 2015, does have some investments. Access CVS5 201910 at invectors.cishenilthicom 10 apswer the following questions: Required: 1. Regarding CVS's investments in debt securities: a. Turn to Note 1 Significant accounting policies. What approach is CVS using to account for its investments in debt securitiesare they HTM, TS, or AFS? b. Turn to Note 3. Investments. What is the total amount of CVS's investments as of 12/31/2019, and where are those investnents shown on CVS's balance sheet? c. What is the total amount of CVS's debt investments that are classified as available-for-sale as of 12/31/2019, and how much of that fotal is amortized cost as opposed to accumulated fair value adjustment that accocint for unrealited gains and losses? d. Tuin to Note 4. Fair Value. What is the amount of CVS's investments in debt securities that is categorized as Level 1 , Level 2 . and Level 3 of the fair value hierarchy? 2. Per Note 1, CVS has equity-method investments in SureScripts. LLC, and in Heartand Healthcare Services. CVS indicates that those investments are immaterial for the year ended December 31, 2019. Assuming that the Heartiand investiment is material, a. How would Heartiand's earnings affect CVS's income statement? b. How would Heartland's earnings affect CVS's bolance sheet? Complete this question by entering your answers in the tabs below. Tarn ta fide 3 i. Imestments. What is the total amount of CVSS imestments as of 12/31/2019, and where are those Fiestments ahown oe GVEs balance sheet? Coenpleate this question by entering your answers in the tabs below. are they HTH. TI or AFS? Complete this question by entering your answers in the tabs below. What is the total amount of CVS's debt investments that are classified as avallable-for-sale as of 12/31/2019, and hom misch of that total is amortized cost as opposed to accumulated fair value adjustment that account for unreakized gains and lospet? Silete: Enter your answers in mitions (i.e 10,000,000 should be ectered as 10.) Complete this question by entering your answers in the tabs below. Turn to Note 4: Fair Value. What is the amount of CVS's investments in debt securities that is categorized as Level 1, Level 2, and Level 3 of the fair value hierarchy? Fote: Enter your answers in millions (i.e., 10,000,000 should be entered as 10.) Complete this question by entering your answers in the tabs below. 2. Per Note 1, CVS has equity-method investments in SureScripts, LLC, and in Heartiand Healthcare Services. CVS indicates that those investments are immaterial for the year ended December 31, 2019. Assuming that the Heartiand investment is material, a. How would Heartland's earnings affect CVS's income statement? b. How would Heartland's earnings affect CVS's balance sheet? Target Corporation prepares its financial statements according to U.S. GAAP. Target's financial statements and disclosupe notes for the year ended February 1,2020, are avallable here. This material also is avaifable under the investor Relations link at the companys website Gowntargeticom). Target does not have itvestments in stock or bonds. However. CVS Health Corporation, which purchased Targetis pharmacy and clinical business during 2015, does have some investments. Access CVS5 201910 at invectors.cishenilthicom 10 apswer the following questions: Required: 1. Regarding CVS's investments in debt securities: a. Turn to Note 1 Significant accounting policies. What approach is CVS using to account for its investments in debt securitiesare they HTM, TS, or AFS? b. Turn to Note 3. Investments. What is the total amount of CVS's investments as of 12/31/2019, and where are those investnents shown on CVS's balance sheet? c. What is the total amount of CVS's debt investments that are classified as available-for-sale as of 12/31/2019, and how much of that fotal is amortized cost as opposed to accumulated fair value adjustment that accocint for unrealited gains and losses? d. Tuin to Note 4. Fair Value. What is the amount of CVS's investments in debt securities that is categorized as Level 1 , Level 2 . and Level 3 of the fair value hierarchy? 2. Per Note 1, CVS has equity-method investments in SureScripts. LLC, and in Heartand Healthcare Services. CVS indicates that those investments are immaterial for the year ended December 31, 2019. Assuming that the Heartiand investiment is material, a. How would Heartiand's earnings affect CVS's income statement? b. How would Heartland's earnings affect CVS's bolance sheet? Complete this question by entering your answers in the tabs below. Tarn ta fide 3 i. Imestments. What is the total amount of CVSS imestments as of 12/31/2019, and where are those Fiestments ahown oe GVEs balance sheet? Coenpleate this question by entering your answers in the tabs below. are they HTH. TI or AFS? Complete this question by entering your answers in the tabs below. What is the total amount of CVS's debt investments that are classified as avallable-for-sale as of 12/31/2019, and hom misch of that total is amortized cost as opposed to accumulated fair value adjustment that account for unreakized gains and lospet? Silete: Enter your answers in mitions (i.e 10,000,000 should be ectered as 10.) Complete this question by entering your answers in the tabs below. Turn to Note 4: Fair Value. What is the amount of CVS's investments in debt securities that is categorized as Level 1, Level 2, and Level 3 of the fair value hierarchy? Fote: Enter your answers in millions (i.e., 10,000,000 should be entered as 10.) Complete this question by entering your answers in the tabs below. 2. Per Note 1, CVS has equity-method investments in SureScripts, LLC, and in Heartiand Healthcare Services. CVS indicates that those investments are immaterial for the year ended December 31, 2019. Assuming that the Heartiand investment is material, a. How would Heartland's earnings affect CVS's income statement? b. How would Heartland's earnings affect CVS's balance sheet Step by Step Solution
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