On December 31, 2017, the Flounder Bank enters into a debt restructuring agreement with Barkley Company, which is now experiencing financial trouble. The bank agrees to restructure a 12%, issued at par, $2,400,000 note receivable by the following modifications 1. Reducing the principal obligation from $2,400,000 to $1,920,000. 2. Extending the maturity date from December 31, 2017, to January 1, 2021. 3. Reducing the interest rate from 12% to 10%. Barkley pays interest at the end of each year. On January 1, 2021, Barkley Company pays $1,920,000 in cash to Flounder Bank. Answer the following questions related to Flounder Bantk (creditor). What interest rate should Flounder Bank use to calculate the loss on the debt restructuring? (Round answer to 0 decimal places, e.g. 18%.) Interest rate SHOW LEST OF ACCOUNTS SHOW SOLUTION LINK TO TEXT (4) Compute the loss that Flounder Bank will suffer from the debt restructuring. (Round answer to o decimal places, e.g. 38,548.) Loss on restructuring of debt (2) Prepare the journal account titles and enter O for the amounts. Credit when amount is entered. Do not indent manually.) entry to record the loss. (If no entry is required, select "No Entry" for the account titles are automatically indented Debit Credit Date Account Titles and Explanation 2017 SHOwLIST OF ACCOUNTS SHOW SOLUTION LINK TO TEXT