Fuzzy Monkey Technologies, Inc., purchased as a long$-$term investment $$250$ million of $8\%$ bonds, dated January $1,$ on January $1,2021.$ Management intends to have the investment available for sale when circumstances warrant. For bonds of similar risk and maturity the market yield was $10\%.$ The price paid for the bonds was $$228$ million. Interest is received semiannually on June $30$ and December $31.$ Due to changing market conditions, the fair value of the bonds at December $31,2021,$ was $$240$ million.

Required:

$1.$ to $3.$ Prepare the relevant journal entries on the respective dates $($record the interest at the effective rate$).$

$4-$a$.$ At what amount will Fuzzy Monkey report its investment in the December $31,2021,$ balance sheet?

$4-$b$.$ Prepare the entry necessary to achieve this reporting objective.

$5.$ How would Fuzzy Monkey's $2021$ statement of cash flows be affected by this investment? $($If more than one approach is possible, indicate the one that is most likely.$)$