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Henry Inc. purchased $17,500 of Container Corporations 5% bonds at par. The purchase was made on January 1 and the investment was classified as a
Henry Inc. purchased $17,500 of Container Corporations 5% bonds at par. The purchase was made on January 1 and the investment was classified as a trading security. At June 30, Henry Inc. received semiannual interest of $438, and adjusted the investment to its fair value of $16,800. Then, Henry Inc. sold its holdings of Container Corporation bonds on July 2, for $16,800
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