1. An amount received as interest, whether determined at a fixed, variable, or floatingrate, on an obligation to pay money to the trustee, including an amount received as consideration for prepaying principal, must be allocated to income without any provision for amortization of premium. 2. An amount received from the sale, redemption, or other disposition of an obligation to pay money to the trustee more than one year after itis purchased or acquired by the trustee, including an obligation whose purchase price or value when itis acquired islessthan itsvalue atmaturity, must be allocated to principal. Ifthe obligation matures within one year after it ispurchased or acquired by the trustee, an amount received in excess of its purchase price or itsvalue when acquired by the trust must be allocated to income. 3. This section does not apply to obligations to which sections 637.421 through 637.424, 637.426, and 637.427 apply.
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