Geralton Marine Services overhauled a commercial transport vessel for Highgate Shipping. For the services completed on March 31, 2020, Geralton received a promissory note for $200,000 due and payable on March 31, 2021. Highgate paid the amount as scheduled. Geralton staff recorded the full amount as revenue on March 31, 2020. 

It is now May 20, 2021. The accounting staff at Geralton just realized that the note was improperly recorded, and that no interest income had been recognized. The controller believes that an 8% interest rate would be appropriate. 

Required:

Record any adjusting journal entries necessary to correct Geralton’s accounts in relation to the note receivable from Highgate.