Wells Fargo bought 7% of Russia's 5-year government bond with an initial interest payment of $800,000 in early 2021. The bank manages the bond investment for the purpose of both collecting contractual cash flows and selling it. In February 2022, due to the Russian-Ukrainian war, the credit risk of Russian government bonds increased and yields rose sharply, so the fair value of the bank's government bonds on December 31, 2022 fell to $740,000, with an expected credit loss of $40,000. Assume Wells Fargo has reported a fair value assessment-adjusted loan balance of $8,000, an allowance for loss loan balance of $5,000, and other equity borrowings of $3,000 at the end of 2021