On August 31, Latty Co. partially refunded $450,000 of its outstanding 10% note payable made one year ago to Dugan State Bank by paying $450,000 plus $45,000 interest, having obtained the $495,000 by using $131,000 cash and signing a new one-year $400,000 note discounted at 9% by the bank. Make the entry to record the partial refunding. Assume Latty Co. makes reversing entries when appropriate. Prepare the adjusting entry at December 3, assuming straight-line amortization of the discount