Lexor Inc. has bonds outstanding with a maturity date of December 31, 2028. The bonds pay semi-annual interest at an annual rate of 5 percent. Payments of $2,500 are made on June 30 and December 31 of each year. The bonds are currently trading at their maturity value. On April 1, 2020, Arnold Wexler acquires some of these bonds. He pays $101,243, including an amount for accrued interest, for bonds with a maturity value of $100,000. He holds the bonds for the remainder of the year, receiving both the June 30 and December 31 interest payments. What amount of interest will be included in Mr. Wexler's 2020 tax return?

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The Answer of Lexor Inc. has bonds outstanding with a maturity date of December 31, 2028. The bonds pay semi-annual interest at an annual rate of 5 percent. Payments of $2,500 are made on June 30 and December 31 of each year. The bonds are currently trading at their maturity value. On April 1, 2020, Arnold Wexler acquires some of these bonds. He pays $101,243, including an amount for accrued interest, for bonds with a maturity value of $100,000. He holds the bonds for the remainder of the year, receiving both the June 30 and December 31 interest payments. What amount of interest will be included in Mr. Wexler's 2020 tax return?

Lexor Inc Has Bonds Outstanding with a Maturity Date of December