Cannot play Protected AAC files on my iPhone 5

I purchased a new iPhone 5 and have synced my music to it. However any purchased AAC files that are in iTunes will not play on my iPhone. They show up and when I try to play it will just skip to the next song it can play that is not the protected AAC file format. Purchased AAC files play fine. It is the Protected AAC which you find in the "kind" column. The new iPhone 5 is obviously running iOS 6.

I have an iPad 2 that is also running iOS 6 and it plays those Protected AAC files just fine.

Does this have something to do with the iPhone is not authorized? I had an iPhone 4 (not 4S) that I upgraded from. I sold the iPhone 4 so when I did I went into my account in iTunes and managed devices and removed the iPhone 4. I set up the iPhone 5 and put in my Apple ID, shouldn't it automatically authorize the phone to play these purchased songs? One interesting thing is if I look at my managed devices now in iTunes it says an iPhone 4S is associated with my apple ID. I've never had a 4S and the date it says the 4S was associated is the date I got my iPhone 5.

How can I play these files on my iPhone 5?