E $12-12$ Available$-$for$-$sale securities; financial statement effects $$ L$012-1,$ LO$12-4$

Colah Company purchased $$1$ million of Jackson, Inc., $5\%$ bonds at par on July $1,2024,$ with interest paid semi$-$annually. Colah

determined that it should account for the bonds as an available$-$for$-$sale investment. At December $31,2024,$ the Jackson bonds had a fair

value of $$1\mathrm{.}2$ million. Colah sold the Jackson bonds on July $1,2025$ for $$900,000.$

Required:

Prepare Colah's journal entries to record

a$.$ The purchase of the Jackson bonds on July $1.$

b$.$ Interest revenue for the last half of $2024.$

c$.$ Any year$-$end $2024$ adjusting entries.

d$.$ Interest revenue for the first half of $2025.$

e$.$ Any entries necessary upon sale of the Jackson bonds on July $1,2025,$ including updating the fair$-$value adjustment, recording any

reclassification adjustment, and recording the sale.