On July 1, 2024, Moon Corporation, a private company, purchased $400,000 of sixyear, 6% Star Corporation bonds for $420,000. The bonds pay interest each June 30. The bonds were purchased to earn interest and the market interest rate at the time of purchase was 5%. The company uses the effective-interest method to amortize any premium or discount on debt security investments. Prepare the required journal entries on July 1 and December 31, 2024, and June 30, 2025.