A company holds a bond as a held to maturity security. The bond has a face value of \$1,000, a coupon rate of 5%, and was purchased at a discount for \$950. How is the bond reported on the balance sheet over time?

At historical cost, remaining at \$950 until maturity date.

At amortized cost, gradually increasing to \$1,000 by maturity.

At face value, immediately reported as \$1,000 upon purchase.

At fair value, adjusted annually for market fluctuations.