On December 31, 2025, American Bank enters into a debt restructuring agreement with Crane Company, which is now experiencing financial trouble. The bank agrees to restructure a 12%, issued at par, $2,300,000 note receivable by the following modifications: 1. Reducing the principal obligation from $2,300,000 to $1,510,000. 2. Extending the maturity date from December 31, 2025, to January 1, 2029. 3. Reducing the interest rate from 12% to 10%. Crane pays interest at the end of each year. On January 1, 2029, Crane Company pays $1,510,000 in cash to American Bank. Your answer is partially correct. Can Crane Company record a gain under this term modification? Yes # If yes, compute the gain for Crane Company. If no, enter amount as 0. The gain for Crane Company 186,000 C A 1. Ac Qu Acc Your answer is partially correct. Acco Prepare the journal entries to record the gain on Crane's books. (If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List debit entry before credit entry.) Qu Acco Que Date Account Titles and Explanation December 31,2025 Notes Payable Gain on Restructuring of Debt eTextbook and Media List of Accounts Debit 186,000 Accou Credit Que Accou 186,000 Ques Accoun View 13 Accour X Your answer is incorrect. What interest rate should Crane use to compute its interest expense in future periods? (Do not leave any answer field blank. Enter O for amounts.) Interest rate eTextbook and Media List of Accounts 8 Question 5 Accounting Dr Question 1 Accounting Mu Question 1 Accounting Mu Assistance Used Question 12 Accounting Mul Viewing Que 13 Accounting Mule Prepare the interest payment schedule of the note for Crane Company after the debt restructuring.. CRANE COMPANY Interest Payment Schedule After Debt Restructuring Effective-Interest Rate 25 $ 26 Cash Paid 151,000 27 151,000 28 151.000 453,000 $ Interest Expense Questio Accounting Question Accounting Reduction Carrying of Carrying Amount Value of Note Question Accounting M 2 Question Accounting M 53,530 97,470 2. Question Accounting M 51.262 99,738 2. Viewing Q 48.940 102.060 Accounting M Question 1 Accounting Mu