Note Receivable from Sale of Product Ply Company sold inventory on January 1, 2000, for $300,000 and accepted a 3-year note bearing a 6 percent interest rate. Interest is paid annually on December 31. Give the journal entries to record the following:

a. Sale of inventory.

b. Receipt of interest at December 31, 2000 and 2001.

c. Receipt of interest and payment of the note on December 31, 2002.