Kinper Corporation is having financial difficulty and therefore has asked Jade Bank to restructure its $1 million note outstanding. The present note has 2 years remaining and pays a current rate of interest of 8%. The present market rate for a loan of this nature is 12%. The note was issued at its face value. Instructions Presented below are four independent situations. Prepare the journal entry that Kinper and Jade Bank would make for each of these restructurings. show all work, label each question, and use appropriate formulas. (a) Jade Bank agrees to take an equity interest in Kinper by accepting common stock valued at $800,000 in exchange for relinquishing its claim on this note. The common stock has a par value of $50,000. (b) Jade Bank agrees to accept land in exchange for relinquishing its claim on this note.The land has a book value of $500,000 and a fair value of $900,000.

1 (a) What is the amount of the gain on restructuirng the note payable recorded by Kinper?
What is the amount credited to paid-in-capital in excess of par value recorded by Kinper?
1 (b) What is the amount of the gain on restructuirng the note payable recorded by Kinper?
What is the amount recorded to the land account by Jade Bank?
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