Sandhill Co. owes $195,200 to Teal inc. The debt is a 10 year, 11% note. Because Sandhill Co. is in financial trouble, Teal Inc agrees to accept some land and cancel the entire debt. The property has a book value of $87,400 and a fair value of $138,600. (a) Prepare the journal entry on Sandhill's books for debt restructure (b) Prepare the journal entry on Teal's books for debt restructure, (If no entry is required, select "No Entry for the account titles and enter for the amounts. Credit account titles are automatically indented when amount is entered. Do not Indent manually.) No. Account Titles and Explanation (a) Sandhill Co's entry: Debit Credit Notes Payable 195200 Gain on Restructuring of Debt 87400 (b) Teal Inc. entry