A marketable debt security is transferred from available$-$for$-$sale to held$-$to$-$maturity securities$.$ At the transfer date, the

security$\text{'}$s carrying amount exceeds its fair value. Assume the fair value option is not elected to report this security. What

amount is used at the transfer date to record the security in the held$-$to$-$maturity portfolio?

Fair value, regardless of whether the decline in fair value below cost is considered permanent or

temporary

Fair value, only if the decline in fair value below cost is considered permanent

Cost, if the decline in fair value below cost is considered temporary

Cost, regardless of whether the decline in fair value below cost is considered permanent or temporary