On July 1, 2017, Crane Inc. made two sales.

1.		It sold land having a fair value of $915,830 in exchange for a 3-year zero-interest-bearing promissory note in the face amount of $1,252,520. The land is carried on Agincourts books at a cost of $597,600.
2.		It rendered services in exchange for a 5%, 6-year promissory note having a face value of $402,550 (interest payable annually).

Crane Inc. recently had to pay 8% interest for money that it borrowed from British National Bank. The customers in these two transactions have credit ratings that require them to borrow money at 11% interest. Record the two journal entries that should be recorded by Crane Inc. for the sales transactions above that took place on July 1, 2017. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

2. On December 31, 2015, Concord Co. performed environmental consulting services for Hayduke Co. Hayduke was short of cash, and Concord Co. agreed to accept a $330,600 zero-interest-bearing note due December 31, 2017, as payment in full. Hayduke is somewhat of a credit risk and typically borrows funds at a rate of 11%. Concord is much more creditworthy and has various lines of credit at 6%.

(a) Prepare the journal entry to record the transaction of December 31, 2015, for the Concord Co. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)