American Surety and Fidelity buys and sells securities expecting to earn profits on short$-$term differences in price. For the first $11$ months of $2024,$ gains from selling trading securities totaled $$5$ million, losses from selling trading securities were $$10$ million, and the company had earned $$5$ million in interest revenue. The following selected transactions relate to American's investments in trading securities and equity securities during December $2024,$ and the first week of $2025.$ The company's fiscal year ends on December $31.$ No trading securities or equity investments were held by American on December $1,2024.$ Assume that the bonds are purchased at face value.

December $12,2024$ Purchased FF&G Corporation bonds for $$14$ million.

December $13,2024$ Purchased $2$ million shares of Ferry Intercommunications common stock for $$26$ million. American does not have significant influence over Ferry's operations or policies.

December $15,2024$ Sold the FF&G Corporation bonds for $$14\mathrm{.}2$ million.

December $22,2024$ Purchased U$.$S$.$ Treasury bills for $$52$ million and Treasury bonds for $$67$ million.

December $23,2024$ Sold half the shares of Ferry Intercommunications common stock for $$11$ million.

December $26,2024$ Sold the U$.$S$.$ Treasury bills for $$54$ million.

December $27,2024$ Sold the Treasury bonds for $$66$ million.

December $28,2024$ Received cash dividends of $$200,000$ from the Ferry Intercommunications common stock shares.

December $31,2024$ Recorded any necessary adjusting entry relating to the remaining investment. The market price of the Ferry Intercommunications stock was $$11$ per share.

January $2,2025$ Sold the remaining Ferry Intercommunications common stock shares for $$11\mathrm{.}2$ million.

January $5,2025$ Purchased Warehouse Designs Corporation bonds for $$36$ million.

Required:

$1.$ Prepare the appropriate journal entry for each transaction or event during $2024$ including any year$-$end adjusting entries.

$2.$ Indicate any amounts that American would report in its $2024$ balance sheet and income statement as a result of these investments. Ignore income taxes.

$3.$ Prepare the appropriate journal entry for each transaction or event during $2025.$