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The following transactions relate to bond investments of Livermore Laboratories. The company's fiscal year ends on December $31.$ Livermore uses the straight$-$line method to determine interest.

$2024$

July $1$ Purchased $$31$ million of Bracecourt Corporation $12$ debentures, due in $20$ years $($June $30,2044),$ for $$30\mathrm{.}7$

$10$

million. Interest is payable on January $1$ and July $1$ of each year.

october $1$ million. Interest is payable on January $1$ and July $1$ of each year. $$45$ million of $14\%$ramm Pharmaceuticals debentures, due May $31,2034,$ for $$47,900,000$ plus

accrued interest. Interest is payable on June $1$ and December $1$ of each year.

December $1$ Received interest on the Framm bonds.

December $31$ Accrued interest.

$2025$

January $1$ Received interest on the Bracecourt bonds.

June $1$ Received interest $on$ the Framm bonds.

July $1$ Received interest

September $1$ Sold $$22\mathrm{.}5$ million of the Framm bonds.

September $103$ plus accrued interest.

December $1$ Received interest December $31$ Accrued interest.

$2026$

January, $1$ Received interest on the Bracecourt bonds.

February $28$ Sold the remainder of the Framm bonds at $104$ plus accrued interest.

December $31$ Accrued interest.

Required:

Prepare the appropriate journal entries for these long$-$term bond investments.

By how much will Livermore Labs' earnings increase in each of the three years as a result of these investments? $($Ignore income taxes.$)$

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