(c) A company may elect to value held-to-maturity
securities at fair value. Any increase or decrease in value is reported
as a gain or loss and included in earnings for the period.
Answer (a) is incorrect because bonds are recorded at cost, but
reported at amortized cost at year-end. Answer (b) is incorrect
because Bing elected the fair value option. Answer (d) is incorrect
because investments are not recorded at lower of cost or