Note: The loss included in NI equals the difference between the proceeds ($30 million) and the carrying value of the investment ($35 million). An additional $15 million was recognized in net income as an unrealized loss in 2024, when fair value decreased from $50 million to $35 millionOn January 2, 2024, Sanborn Tobacco Inc. bought 5% of Jackson Industry’s capital stock for $90 million. Jackson Industry’s net income for the year ended December 31, 2024, was $120 million. The fair value of the shares held by Sanborn was $98 million at December 31, 2024. During 2024, Jackson declared a dividend of $60 million.

Required:
1. Prepare all appropriate journal entries related to the investment during 2024.
2. Assume that Sanborn sold the stock on January 2, 2025 for $110 million. Prepare the journal entry Sanborn would use to record the sale.