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On December 31. 2025. Metlock Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Metlock Co. agreed to accept a
On December 31. 2025. Metlock Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Metlock Co. agreed to accept a $318,100 zero-interest-bearing note due December 31,2027, as payment in full. Hayduke is somewhat of a credit risk and typically borrows funds at a rate of 11%. Metlock is much more creditworthy and has various lines of credit at 5% (a) Prepare the journal entry to record the transaction of December 31, 2025, for the Metlock Co. (Round present value factor calculations to 5 decimol places, eg. 1.25124 and final answers to 0 decimal places, es. 5,275 . If no entry is required, select "No Entry" for the account tities and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered, Do not indent manually. List all debit entries before credit entries.)
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