At January 1, 2024, NCI Industries, Inc., was indebted to First Federal Bank under a $240,000, 10% unsecured note.
∙ The note was signed January 1, 2017, and was due December 31, 2025.
∙ Annual interest was last paid on December 31, 2022.
∙ NCI was experiencing severe financial difficulties and negotiated a restructuring of the terms of the debt agreement.
∙ First Federal agreed to reduce last year’s interest and the remaining two years’ interest payments to $11,555 each and delay all payments until December 31, 2025, the maturity date.

Required:
Prepare the journal entries by NCI Industries, Inc., necessitated by the restructuring of the debt at: (1) January 1, 2024; (2) December 31, 2024; and (3) December 31, 2025.