Required Information [The following information applies to the questions displayed below.] Wally is employed as an executive with Pay More Incorporated. To entice Wally to work for Pay More, the corporation loaned him $24,000 at the beginning of the year at a simple Interest rate of 1 percent. Wally would have paid Interest of $2,880 this year if the Interest rate on the loan had been set at the prevailing federal Interest rate. a. Wally used the funds as a down payment on a speedboat and repaid the $24,000 loan (Including $240 of Interest) at year-end. Does this loan result in any Income to either party? Yes No Indicate the amount below. Pay More Wally Gross Income