Question: On July 1 , 2 0 2 6 , Tanner - UNF Corporation acquired as a long - term investment $ 1 5 0 .

On July 1 , 2 0 2 6 , Tanner - UNF Corporation acquired as a long - term investment $ 1 5 0 . 0 million of 4 . 0 % bonds, dated July 1 . Company management has the positive intent and ability to hold the bonds until maturity. Tanner - UNF paid $ 1 5 0 . 0 million for the bonds. The company will receive interest semiannually on June 3 0 and December 3 1 . As a result of changing market conditions, the fair value of the bonds at December 3 1 , 2 0 2 6 , was $ 1 3 0 . 0 million. Required: 1 . How will Tanner - UNF ' s investment in the bonds on July 1 , 2 0 2 6 affect the financial statements? 2 . How will Tanner - UNF ' s receipt of interest on December 3 1 , 2 0 2 6 , affect the financial statements? 3 . At what amount will Tanner - UNF report its investment in the December 3 1 , 2 0 2 6 , balance sheet? 4 . Suppose Moody ' s bond rating agency downgraded the risk

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