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Kroshka Holdings Corporation has several investments in debt and equity securities of other companies: 1. 10-year BCE bonds, intended to be held for the duration

Kroshka Holdings Corporation has several investments in debt and equity securities of other companies:

1. 10-year BCE bonds, intended to be held for the duration of the bonds

2. 10-year GE bonds, intended to be sold if interest rates go down

3. 5-year Government of Canada bonds, intended to be sold if cash is needed

4. A 180-day treasury bill

5. Bank of Montreal preferred shares, purchased for the dividend income

6. TMX common shares, purchased to sell in the near term at a profit. These shares are part of an investment portfolio that is actively traded.

Instructions:

a) Indicate whether each of the above investments is a passive or strategic investment

b) Indicate whether each of the above investments would be classified as a short-term (current assest) of long-term investment on Kroshka Holdings' balance sheet.

c) For each investment that you classified as passive in (a), indicate whether it is a held-for-trading, available-for-sale, or held-to-maturity security.

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