Investments in Financial Assets

Investments in Financial Assets

	CV(*)	Interest Income	Earning before taxes(t)	Amortization
Held-to-maturity	Amortized cost (****)	Yes		par value > initial cost -->positive interest income par value < initial cost -->negative interest income
Available for sale	MV(**)	Yes (***)
Held for trading	MV(**)	Yes	MV(t) - MV(t-1)

(*) Carrying Value
(**) Market Value
(***) When reclassified from held-to-maturity for a non-par bond, adjustment is required.
(****) Amortized cost = Historical cost = Par value, if historical cost is a par-value