On December 31, 2020, Green Bank enters into a debt restructuring agreement with Windsor Inc., which is now experiencing financial trouble. The bank agrees to restructure a $2.8-million, 12% note receivable issued at par by the following modifications: 1. Reducing the principal obligation from $2.8 million to $2.24 million 2. Extending the maturity date from December 31, 2020, to December 31, 2023 3. Reducing the interest rate from 12% to 10% Windsor pays interest at the end of each year. On January 1, 2024, Windsor Inc. pays $2.24 million in cash to Green Bank for the principal. The market rate is currently 10%. Calculate the gain if any. (For calculation purposes, use 5 decimal places as displayed in the factor table provided and Round final answer to O decimal places, e.g. 1,525.) Gain $ 346000 Prepare the journal entries to record the gain (if any) on Windsor's books. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit * Your answer is incorrect. What interest rate should Windsor use to calculate its interest expense in future periods? Rate of intrest applied % eTextbook and Media List of Accounts Prepare the amortization schedule of the note for Windsor after the debt restructuring. INC. PAYMENT SCHEDULE AFTER DEBT URING INTEREST RATE Reduction of Cash Carrying Interest Amount $ 158000 158000 158000 474000 $ eTextbook and Media Effective Interest $ $ 0 0 0 tA $ 158000 158000 158000 Carrying Amount of Note $ BOOO 2054 1896 1738 1580 Prepare the interest payment entry for Windsor on December 31, 2021, 2022, and 2023. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31, 2021 Notes Payable through 2023 Cash eTextbook and Mec List of Accounts 158000 158000 Your answer is partially correct. What entry should Windsor make on January 1, 2024? (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Debit Credit January Notes Payable 1580000 1, 2024