In 2016, Osgood Corporation purchased $4 million of 10-year municipal bonds at face value. On December 31, 2018, the bonds had a fair value of $3,600,000 and Osgood reclassified the bonds from held to maturity to trading securities. Osgood's December 31, 2018, balance sheet and the 2018 income statement would show the following:

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Income Investment in statement loss municipal bonds on investments Income Investment in statement loss municipal bonds on investments

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Loss on investments 40000... View the full answer