Tanner$-$UNF Corporation acquired as a long$-$term investment $$200$ million of $6\%$ bonds, dated July $1,2024.$ Assume Tanner$-$UNF management is holding the bonds as available$-$for$-$sale securities$.$ Tanner$-$UNF paid $$200$ 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 $$210$ million.

Required:

$1.$ to $3.$ Prepare the journal entry to record Tanner$-$UNF$$s investment in the bonds on July $1,2024,$ interest on December $31,2024,$ at the effective $($market$)$ rate and the fair value adjustment at December $31.$

$4.$ Suppose Moody$$s bond rating agency downgraded the risk rating of the bonds motiving Tanner$-$UNF to sell the investment on January $2,2025,$ for $$190$ million. Prepare the journal entry to record the sale.