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On January 1, 2023, Novak Corp. acquires $307,000 of Spider Products Inc. 8% bonds at a price of $284,493. The interest is payable each December

On January 1, 2023, Novak Corp. acquires $307,000 of Spider Products Inc. 8% bonds at a price of $284,493. The interest is payable each December 31, and the bonds mature on December 31, 2025. The investment will provide Novak with a 11% yield. Novak applies IFRS and accounts for this investment using the amortized cost model.

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