Mills Corporation acquired as a long-term investment $250 million of 8% bonds, dated July 1 , on July 1,2024 . Company management has classified the bonds as an available-for-sale investment. The market interest rate (yield) was 6% for bonds of similar risk and maturity. Mills paid $290 million for the bonds. The company will receive interest semiannually on June 30 and December 31. As a result of changing market conditions, the fair value of the bonds at December 31,2024 , was $270 million. Required: 1. \& 2. Prepare the journal entry to record Mills' investment in the bonds on July 1,2024 and interest on December 31 , 2024, at the effective (market) rate. 3. At what amount will Mills report its investment in the December 31,2024 , balance sheet? 4. Suppose Moody's bond rating agency upgraded the risk rating of the bonds, and Mills decided to sell the investment on January 2, 2025, for $300 million. Prepare the journal entries required on the date of sale