On December 31, 2020, American Bank enters into a debt restructuring agreement with Pearl Company, which is now experiencing financial trouble. The bank agrees to restructure a 12%, issued at par, $4,310,000 note receivable by the following modifications:

1. Reducing the principal obligation from $4,310,000 to $3,448,000.

2. Extending the maturity date from December 31, 2020, to January 1, 2024.

3. Reducing the interest rate from 12% to 10%. Pearl pays interest at the end of each year. On January 1, 2024, Pearl Company pays $3,448,000 in cash to American Bank.

Pearl pays interest at the end of each year. On January 1, 2024, Pearl Company pays $3,448,000 in cash to American Bank.

What entry should Pearl make on January 1, 2024? (Round answers to 0 decimal places, e.g. 38,548. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
December 31, 2024