Prepare the entries George should make on: а. 10-01-18. p. 12-31-18. ç, 03-01-19.
Chapter14: Property Transactions: Capital Gains And Losses, § 1231, And Recapture Provisions
Section: Chapter Questions
Problem 25CE
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Transcribed Image Text:On 10-01-18, George purchased $100,000 of
3% bonds that mature on 03-01-23 for
$100,000 plus accrued interest. George does
not intend to hold the bonds until maturity,
however, George plans to hold them for more
than one year. The bonds pay interest every
09-01 and 03-01. The bonds were trading at
101 at 12-31-18 and 99 at 12-31-19. On 03-01-
20, George sold all of the bonds at 99.5.
These bonds are George's only investment.
George closes its blooks every December 31.
Prepare the entries George should make on:
а. 10-01-18.
p. 12-31-18.
c. 03-01-19.
d. 09-01-19.
е. 12-31-19.
f. 03-01-20.
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