On January 1, 2025, Waterway Company issued a $1,231,200,5-year, zero-interest-bearing note to Wildhorse Bank. The note was issued to yield 8% annual interest. Unfortunately, during 2026 Waterway fell into financial trouble due to increased competition. After reviewing all available evidence on December 31. 2026, Wildhorse Bank decided that the loan was impaired. Waterway will probably pay back only $820,800 of the principal at maturity. (a) Prepare journal entries for both Waterway Company and Wildhorse Bank to record the issuance of the note on January 1,2025. (Round present value factor calculations to 5 decimal ploces, eg. 1.25124 and final answers to 0 decimal places, e.8. 5,275. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.) Wildhorse Bank (Creditor)