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Fuzzy Monkey Technologies, Inc., purchased as a long-term investment $ 130 million of 8% bonds,...

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Fuzzy Monkey Technologies, Inc., purchased as a long-term investment $ 130 million of 8% bonds, dated January 1, on January 1, 2016. Management intends to have the investment available for sale when circumstances warrant. For bonds of similar risk and maturity the market yield was 10%. The price paid for the bonds was $115 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, 2016, was $120 million. Required 1. to 3. Prepare the relevant jounal entries on the respective dates (record the interest at the effective rate). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places, i.e., 5,500,000 should be entered as 5.50).) View transaction list View journal entry worksheet No Date General Journal Debit Credit January 1, Investment in bonds 130.00 2016 Discount on bond investment 15.00 Cash 115.00 2 June 30, 2016 Cash Discount on bond investment Interest Revenue December 3 . Cash Discount on bond investment Interest Revenue

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