Tennison Products purchased a 5-year, $50,000 bond at face value on July 1, 2017. The bond's stated interest rate is 5%, paid annually on June 30. Tennison has the intent and the ability to hold the bond for the full five years. As a result of changes in the overall economy, the bond had a fair value of $51,000 on July 1, 2018, and $52,000 on July 1, 2019.