(e) Prepare the interest payment entries for Teal Company on December 31, of 2026, 2027, and 2028. (Record entries in the order displayed in the problem statement. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Date eTextbook and Media List of Accounts Account Titles and Explanation I Debit Cre

Prepare the interest parment entries for Teal Company on December 31, of 2026, 2027, and 2028. (Record entries in the order displayed in the probicm statement. If no entry is required, select "No Entry" for the occount titles and enter O for the amounts. Credit. account titles are outomotically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) On Deccmber 31,2025, American Bank enters into a debt restructuring agrecment with Teal Company, which is now experiencing financlal trouble, The bank agreos to restructure a 12%, issued at par, $3,300,000 note receivable by the following modifications: 1. Recducinet the principal obligation from $3,300,000 to $2,220,000. 2. Exinnd me the maturity date from December 31,2025 , to January 1.2029. 3. Feducing the interest ratefrom 12% to 10%. Teal gass interest at the end of each year. On January 1,2029, Teal Company pass $2,220,000 incash ta American Bank. (a) Can Teal Company record a gain under this term modification? If yes, compute the gain for Teal Company, If no, enter amount as a Prepare the journal entries to record the gain on Teal's books. (If no entry is required, select "No Entry" for the account titles and enter Ofor the amounts. Cretilt occount titles are automatically indented when the amount is entered. Do not indent manually, List debit entry before credif entry)