At January $1,2024,$ Mahmoud Industries, Incorporated, owed Second BancCorp $$22$ million under a $10\%$ note due December $31,2026.$ Interest was paid last on December $31,2022.$ Mahmoud was experiencing severe financial difficulties and asked Second BancCorp to modify the terms of the debt agreement. Afte negotiation Second BancCorp agreed to:

a$.$ Forgive the interest for $2023$ and $2024.$

b$.$ Reduce the remaining two years' interest payments to $$2$ million each and delay the first payment until December $31,2025.$

c$.$ Reduce the unpaid principal amount to $$20$ million.

Required:

Prepare the journal entries by Mahmoud Industries, Incorporated, necessitated by the restructuring of the debt at $(1)$ January $1,2024$; $(2)$ December $31,2025$; and $(3)$ December $31,2026.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your answers in whole dollars.

View transaction tist:

Record the restructuring of the debt on January $1,2024.$

$2.$ Record the scheduled interest cash payment.

$3$ Record the scheduled interest cash payment.

$4$ Record the payment of the debt at maturity.