Metlock Corp. owes Ivanhoe Corp. a $99,990, 10-year, 10% note issued at par plus $9,999 of...

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Metlock Corp. owes Ivanhoe Corp. a $99,990, 10-year, 10% note issued at par plus $9,999 of accrued interest. The note is due today, December 31, 2020. Because Metlock Corp. is in financial trouble, Ivanhoe Corp. agrees to forgive the accrued interest and $10,420 of the principal, and to extend the maturity date to December 31, 2023. Interest at 10% of the revised principal will continue to be due on December 31 of each year. Assume the market rate of interest is 10% at the date of refinancing. Metlock and Ivanhoe prepare financial statements in accordance with IFRS. Prepare a schedule of the debt reduction and interest expense for the years 2020 through 2023. (Do not leave any answer field blank. Enter 0 for amounts.) Metlock Corp. SCHEDULE OF DEBT REDUCTION AND INTEREST EXPENSE AMORTIZATION Effective Interest (Market) Date 12/31/20 12/31/21 12/31/22 12/31/23 12/31/23 $ Cash Interest Change in Carrying Amount Carrying Amount Metlock Corp. owes Ivanhoe Corp. a $99,990, 10-year, 10% note issued at par plus $9,999 of accrued interest. The note is due today, December 31, 2020. Because Metlock Corp. is in financial trouble, Ivanhoe Corp. agrees to forgive the accrued interest and $10,420 of the principal, and to extend the maturity date to December 31, 2023. Interest at 10% of the revised principal will continue to be due on December 31 of each year. Assume the market rate of interest is 10% at the date of refinancing. Metlock and Ivanhoe prepare financial statements in accordance with IFRS. Prepare a schedule of the debt reduction and interest expense for the years 2020 through 2023. (Do not leave any answer field blank. Enter 0 for amounts.) Metlock Corp. SCHEDULE OF DEBT REDUCTION AND INTEREST EXPENSE AMORTIZATION Effective Interest (Market) Date 12/31/20 12/31/21 12/31/22 12/31/23 12/31/23 $ Cash Interest Change in Carrying Amount Carrying Amount

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