Fuzzy Monkey Technologies, Incorporated purchased as a short$-$term investment $$140$ million of $10\%$ bonds, dated January $1,$ on

January $1,2024.$ Management intends to include the investment in a short$-$term, active trading portfolio. For bonds of similar risk and

maturity the market yield was $12\%.$ The price paid for the bonds was $$124$ million. Interest is received semiannually on June $30$ and

December $31.$ Due to changing market conditions, the fair value of the bonds at December $31,2024,$ was $$130$ million.

Required:

to $3.$ Prepare the relevant journal entries on the respective dates $($record the interest at the effective rate$).$

$4-$a$.$ At what amount will Fuzzy Monkey report its investment in the December $31,2024$ balance sheet?

$4-$b$.$ Prepare any entry necessary to achieve this reporting objective.

How would Fuzzy Monkey's $2024$ statement of cash flows be affected by this investment? $($If more than one approach is possible,

indicate the one that is most likely.$)$

Answer is complete but not entirely correct.

Complete this question by entering your answers in the tabs below.

How would Fuzzy Monkey's $2024$ statement of cash flows be affected by this investment? $($If more than one approach is

possible, indicate the one that is most likely.$)$

Note: Do not round intermediate calculations. Enter all amounts as positive values. Enter your answers in millions rounded to

$1$ decimal place, $($i$.$e$.,5,500,000$ should be entered as $5\mathrm{.}5).$