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loans receivable On January 1, 2009, Giannis granted a 4-year loan to a borrower in the amount of $50,000,000. The company incurs $2,000,000 direct loan

loans receivable

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On January 1, 2009, Giannis granted a 4-year loan to a borrower in the amount of $50,000,000. The company incurs $2,000,000 direct loan origination cost and receives nonrefundable origination fee amounting to $5,003,850. The stated interest is 10% payable annually every December 31. The prevailing market rate for a loan of this type is 12%. Required: -Prepare the journal entries related to the loan. -How much is the interest income for 2009? -How much is the carrying amount of the loans receivable on December 31, 2009

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