7-15 (Algo) Troubled debt restructuring [Appendix 7B] Rothschild Chair Company, Incorporated, was Indebted to First Lincoln Bank under a $29 million, 10% unsecured note. The note was signed January 1, 2014, and was due December 31, 2027. Annual Interest was last paid on December 31, 2022. At January 1, 2024. Rothschild Chair Company was experiencing severe financial difficulties and negotiated a restructuring of the terms of the debt agreement. Note: Use appropriate factor(s) from the tables provided. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) Required: Prepare all journal entries by First Lincoln Bank to record the restructuring and any remaining transactions, for current and future years, relating to the debt under each of the Independent circumstances below: 1. First Lincoln Bank agreed to settle the debt in exchange for land having a fair value of $25 million but carried on Rothschild Chair Company's books at $22 million. 2. First Lincoln Bank agreed to (a) forgive the Interest accrued from last year, (b) reduce the remaining four Interest payments to $1.8 million each, and (c) reduce the principal to $24 million. Complete this question by entering your answers in the tabs below. Required 1 Required 2 First Lincoln Bank agreed to settle the debt in exchange for land having a fair value of $25 million but carried on Rothschild Chair Company's books at $22 million. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions. Show less View transaction llest Journal entry worksheet < Record the restructuring of debt. Note: Enter debits before credits. Event 1 General Journal Debit Credit Record entry Clear entry View general journal Complete this question by entering your answers in the tabs below. Required 1 Required 2 First Lincoln Bank agreed to (a) forgive the interest accrued from last year, (b) reduce the remaining four interest payments to $1.8 million each, and (c) reduce the principal to $24 million. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your intermediate and final answer to whole dollars. View transaction let Journal entry worksheet 1 2 3 4 5 6 Record the loss on troubled debt restructuring. Note: Enter debits before credits. Date January 01, 2024 General Journal Debit Credit Record entry Clear entry View general journal < Required 1 Required 2 > Show less A