On June 1, 2021, Seller sold equipment to Myer Landscaping Service in exchange for a zero-interest bearing note with a face value of $110,000, with payment due in 12 months. The fair value of the equipment on the date of sale was $100,000, and it had a cost to Seller of $60,000.

A. Prepare the journal entry necessary on June 1.

B. Prepare the adjusting journal entry necessary at December 31.

C. Prepare the journal entry on the date payment is received.