On July $1,2026,$ Tanner$-$UNF Corporation acquired as a long$-$term investment $$150\mathrm{.}0$ million of $4\mathrm{.}0\%$ bonds, dated July $1.$ Company management has the positive intent and ability to hold the bonds until maturity. Tanner$-$UNF paid $$150\mathrm{.}0$ million for the bonds. The company will receive interest semiannually on June $30$ and December $31.$ As a result of changing market conditions, the fair value of the bonds at December $31,2026,$ was $$130\mathrm{.}0$ million.

Required:

$1.$ How will Tanner$-$UNF$$s investment in the bonds on July $1,2026$ affect the financial statements?

$2.$ How will Tanner$-$UNF$$s receipt of interest on December $31,2026,$ affect the financial statements?

$3.$ At what amount will Tanner$-$UNF report its investment in the December $31,2026,$ balance sheet?

$4.$ Suppose Moody$$s bond rating agency downgraded the risk rating of the bonds motivating Tanner$-$UNF to sell the investment on January $2,2027,$ for $$100\mathrm{.}0$ million. How will the sale of the bond investment affect Tanner$-$U How will Tanner$-$UNF's investment in the bonds on July $1,2026$ affect the financial statements?

Note: Enter your answers in millions $($i$.$e$.,10,000,000$ should be entered as $10).$ Amounts to be deducted should be indicated

by a minus sign. How will Tanner$-$UNF's receipt of interest on December $31,2026,$ affect the financial statements?

Note: Enter your answers in millions rounded to $1$ decimal place, $($i$.$e$.,5,500,000$ should be entered as $5\mathrm{.}5).$ Amounts to be

deducted should be indicated by a minus sign. At what amount will Tanner$-$UNF report its investment in the December $31,2026,$ balance sheet?

Note: Enter your answer in millions, $($i$.$e$.,10,000,000$ should be entered as $10).$

millionSuppose Moody's bond rating agency downgraded the risk rating of the bonds motivating Tanner$-$UNF to sell the investment

on January $2,2027,$ for $$100\mathrm{.}0$ million. How will the sale of the bond investment affect Tanner$-$UNF's financial statements?

Note: Enter your answers in millions, $($i$.$e$.,10,000,000$ should be entered as $10).$ Amounts to be deducted should be indicated

by a minus sign.NF$$s financial statements?