The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys debt securities, intending to profit from short-term differences in price and manufacturing them in an active trading portfolio. Ornamental’s fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020. Mar. 31 Acquired 8% Distribution Transformer’s Corporation bonds coating $580,000 at face value. Sep. 1 Acquired $1,440,000 of American Instruments’ 10% bonds at face value. Sep. 30 Received semiannual interest payment on the Distribution Transformers bonds. Oct. 2 Sold the Distribution Transformers bonds for $640,000. Nov. 1 Purchased $2,300,000 of M&D Corporation 6% bonds at face value. Dec. 31 Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investments are American Instruments bonds $1,398,000 M&D Corporation bonds $2,378,000
The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys debt securities, intending to profit from short-term differences in price and manufacturing them in an active trading portfolio. Ornamental’s fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020.
Mar. 31 Acquired 8% Distribution Transformer’s Corporation bonds coating $580,000 at face value.
Sep. 1 Acquired $1,440,000 of American Instruments’ 10% bonds at face value.
Sep. 30 Received semiannual interest payment on the Distribution Transformers bonds.
Oct. 2 Sold the Distribution Transformers bonds for $640,000.
Nov. 1 Purchased $2,300,000 of M&D Corporation 6% bonds at face value.
Dec. 31 Recorded any necessary
American Instruments bonds $1,398,000
M&D Corporation bonds $2,378,000
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