On May 15,Tumbleweed,Inc.purchased notes of Dansell Corp.for $80,000.This is considered to be an available-for-sale debt investment.This is the company's first and only investment in available-for-sale debt securities.On Tumbleweed's September 30 year-end,the notes had a fair value of $85,000.The $5,000 difference in fair value must be reported on Tumbleweed's income statement as a $5,000 unrealized gain.

Question

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The $5,000 difference in fair value of an available-for-sale debt investment is reported in other comprehensive income and accumulated in the other comprehensive income section of equity, not in the income statement.