Acollection of investments, usually stocks, bonds, and other securities managed by a portfolio manager. the collective investment gains or loses value as a group. generally the group of items spread the risk of items purchased individually. the net proceeds are passed to the individual investors. example: vanguard index

On january 1, year 1, purl corp. purchased as a long-term investment $500,000 face amount of shaw, inc.’s 8% bonds for $456,200. the bonds were purchased to yield 10% interest. the bonds mature on january 1, year 6, and pay interest annually on january 1. purl uses the effective interest method of amortization. what amount (rounded to nearest $100) should purl report on its december 31, year 2, balance sheet for these held-to-maturity bonds?