Rothschild Chair Company, Inc., was indebted to First Lincoln Bank under a $20 million, 10% unsecured note. The note was signed January 1, 2008, and was due December 31, 2019. The appropriate market rate of interest on January 1, 2008, was 10%. At January 1, 2016, Rothschild Chair Company was experiencing severe financial difficulties and negotiated a restructuring of the terms of the debt agreement. First Lincoln Bank prepares quarterly financial statements using U.S. GAAP. (FV of $1, PV of $1, FVA of $1, PVA of S1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: Prepare all journal entries by First Lincoln Bank to record the effects of the restructuring under each of the independent circumstances below 1. First Lincoln Bank agreed to settle the debt in exchange for land having a fair value of $16 million but carried on Rothschild Chair Company's books at $13 million. As of January 1, 2016, First Lincoln Bank had an allowance for credit losses of $1,500,000 related to the Rothschild receivable. (lf no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars view transaction list view general journal Journal Entry Worksheet Record the restructuring of debt Debit Event General Journal Credit