American Surety and Fidelity buys and sells securities expecting to earn profits on short term differences in price For the first 11 months of 2013, gains from selling trading securities totaled $6 million, losses were $12 million, and the company had earned $5 million in investment revenue The following selected transactions relate to Americans trading account during December 2013, and the first week of 2014 The companys fiscal year ends on December 31 No trading securities were held by American on December 1, 2013 2013 Dec 12 Purchased FF G Corporation bonds for $14 million 13 Purchased 2 million Ferry Intercommunications common shares for $28 million 15 Sold the FF G Corporation bonds for $14 6 million 22 Purchased U S Treasury bills for $78 million and Treasury bonds for $80 million 23 Sold half the Ferry Intercommunications common shares for $13 million 26 Sold the U S Treasury bills for $81 million 27 Sold the Treasury bonds for $79 million 28 Received cash dividends of $200,000 from the Ferry Intercommunications common shares 31 Recorded any necessary adjusting entry(s) and closing entries relating to the investments The market price of the Ferry Intercommunications stock was $13 per share 2014 Jan 2 Sold the remaining Ferry Intercommunications common shares for $13 5 million 5 Purchased Warehouse Designs Corporation bonds for $49 million Required 1 Prepare the appropriate journal entry for each transaction or event during 2013, including the closing entry to income summary for the year (If no entry is required for a particular event, select No journal entry required in the first account field Enter your answers in millions rounded to 1 decimal place (i e , 5,500,000 should be entered as 5 5) ) 2 Indicate any amounts that American would report in its 2013 balance sheet and income statement as a result of these investments (Enter your answers in millions rounded to 1 decimal place (i e , 5,500,000 should be entered as 5 5) ) Prepare the appropriate journal entry for each transaction or event during 2014 (If no entry is required for a particular event, select No journal entry required in the first account field Enter your answers in millions rounded to 1 decimal place (i e , 5,500,000 should be entered as 5 5) )

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American Surety and Fidelity buys and sells securities expecting to earn profits on short-term differences in price. For the first 11 months of 2013, gains

American Surety and Fidelity buys and sells securities expecting to earn profits on short-term differences in price. For the first 11 months of 2013, gains from selling trading securities totaled $6 million, losses were $12 million, and the company had earned $5 million in investment revenue. The following selected transactions relate to Americans trading account during December 2013, and the first week of 2014. The companys fiscal year ends on December 31. No trading securities were held by American on December 1, 2013.

2013
Dec. 12	Purchased FF&G Corporation bonds for $14 million.
13	Purchased 2 million Ferry Intercommunications common shares for $28 million.
15	Sold the FF&G Corporation bonds for $14.6 million.
22	Purchased U.S. Treasury bills for $78 million and Treasury bonds for $80 million.
23	Sold half the Ferry Intercommunications common shares for $13 million.
26	Sold the U.S. Treasury bills for $81 million.
27	Sold the Treasury bonds for $79 million.
28	Received cash dividends of $200,000 from the Ferry Intercommunications common shares.
31	Recorded any necessary adjusting entry(s) and closing entries relating to the investments. The market price of the Ferry Intercommunications stock was $13 per share.
2014
Jan. 2	Sold the remaining Ferry Intercommunications common shares for $13.5 million.
5	Purchased Warehouse Designs Corporation bonds for $49 million.

Required:

Prepare the appropriate journal entry for each transaction or event during 2013, including the closing entry to income summary for the year. (If no entry is required for a particular event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).)

2. Indicate any amounts that American would report in its 2013 balance sheet and income statement as a result of these investments. (Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).)

Prepare the appropriate journal entry for each transaction or event during 2014.(If no entry is required for a particular event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).)