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Silver Corp. buys and sells debt securities which it classifies as trading securities. The company's fiscal...

Silver Corp. buys and sells debt securities which it classifies as trading securities. The company's fiscal year ends on Dec. 31. On Dec. 27, 2021. Silver purchased James Communications bonds at par for $100. At Dec. 31, the bonds had a fair value of $200. On Jan. 3,2022 the bonds were sold for $250. The amount included in 2021 Silver' net income as a result of this investment would be:

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Answer #1
Trading securities are recorded in Balance Sheet at their fair value.
Any changes in fair value of Trading securities are recognized in Income statement.
Amount included in 2021 Silver' net income 100 =200-100
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