The following transactions relate to bond Investments of Livermore Laboratorles. The company's fiscal year ends on December $31.$ By how much will Livermore Labs' earnings increase in each of the three years as a result of these investments? $($Ignore

income taxes.$)$

Note: Do not round intermediate calculations. Enter your answers in whole dollars. Record the purchase of $$28$ million Bracecourt

Corporation $12\%$ debentures, due in $20$ years $($June $30,$

$,$ for $$27\mathrm{.}4$ million. Interest is payable on January $1$

and July $1$ of each year.

Record the purchase of $$42$ million $14\%$ Framm

Pharmaceuticals debentures, due May $31,2034,$ for

$$44,552,000$ plus accrued interest. Interest is payable on

June $1$ and December $1$ of each year.

Record the receipt of interest on the Framm bonds.

Record the accrued interest on the Bracecourt bonds.

Record the accrued interest on the Framm bonds. Record the receipt of interest on the Bracecourt bonds.

Record the receipt of interest on the Framm bonds.

Record the receipt of interest on the Bracecourt bonds.

Record the accrued interest on the Framm bonds.

$(10)$ Record the sale of $$21$ million of the Framm bonds at $102$

plus accrued interest.$(11)$ Record the receipt of interest on the remaining Framm

bonds.

Record the accrued interest on the Bracecourt bonds.

Record the accrued interest on the Framm bonds.

Record the receipt of interest on the Bracecourt bonds.

Record the accrued interest on the Framm bonds.

Record the sale of the remainder of the Framm bonds at

$103$ plus accrued interest.

Record the accrued interest.

Livermore uses the straight$-$IIne method to determine Interest.

$2024$

July $1$ Purchased $$28$ million of Bracecourt Corporation $12\%$ debentures, due in $20$ years $($June $30,2844),$ for $$27\mathrm{.}4$ million.

Interest is payable on January $1$ and July $1$ of each year.

October $1$ Purchased $$42$ million of $14\%$ Framm Pharmaceuticals debentures, due May $31,2034,$ for $$44,552,,$ plus accrued interest.

Interest is payable on June $1$ and December $1$ of each year.

December $1$ Received interest on the Framm bonds.

December $31$ Accrued interest.

$2025$ June $1$ Received interest on the Framm bonds.September $1$ Sold $$21\mathrm{.}0$ million of the Framm bonds at $102$ plus accrued interest.December $31$ Accrued interest$\mathrm{.}2026$

January $1$ Received interest on the Bracecourt bonds.

February $28$ Sold the remainder of the Framm bonds at $103$ plus accrued interest.

December $31$ Accrued interest.

Required:

Prepare the approprlate Journal entrles for these long$-$term bond Investments.

By how much will Livermore Labs' earnings Increase in each of the three years as a result of these Investments? $($Ignore Income

taxes.$)$