Gordon's Grocers purchases bread from Buddys Bread Company at $1.70 per loaf. Gordon's recently engaged in a customer service contract with Buddy's to purchase 262,000 loaves of Buddy's bread. Buddy offered credit to Gordon's at terms of 3/15, n/45. Buddy expects Gordon to pay within the discount period.

Required:

Prepare the journal entry to record the sale using the net method, rounding to the nearest whole dollar.