Problem 12-6 Various transactions relating to trading securities [LO12-2] American Surety and Fidelity buys and sells securities expecting to earn profits on short-term differences in price. For the first 11 months of 2016, gains from selling trading securities totaled $6 million, losses were $13 million, and the company had earned $5 million in investment revenue. The following selected transactions relate to American's trading account during December 2016, and the first week of 2017. The company's fiscal year ends on December 31. No trading securities were held by American on December 1 2016 2016 Dec. 12 Purchased FF&G Corporation bonds for $18 million. 13 Purchased 2 million Ferry Intercommunications common shares for $26 million 15 Sold the FF&G Corporation bonds for $18.3 million 22 Purchased U.S. Treasury bills for $86 million and Treasury bonds for $84 million 23 Sold half the Ferry Intercommunications common shares for $12 million 26 Sold the U.S. Treasury bills for $93 million 27 Sold the Treasury bonds for $80 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 $12 per share 2017 Jan. 2 Sold the remaining Ferry Intercommunications common shares for $12.4 million 5 Purchased Warehouse Designs Corporation bonds for $53 million. Required: 1. Prepare the appropriate journal entry for each transaction or event during 2016. (If no entry is required for a transaction/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).) View transaction list Journal entry worksheet 2 4 6 8 Record the purchase of FF&G Corporation bonds for $18 million