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Shlee Corporation issued a 7-year, $67,300, zero-interest-bearing note to Garcia Company on January 1, 2011, and received cash of $67,300. In addition, Shlee agreed to
Shlee Corporation issued a 7-year, $67,300, zero-interest-bearing note to Garcia Company on January 1, 2011, and received cash of $67,300. In addition, Shlee agreed to sell merchandise to Garcia at an amount less than regular selling price over the 7-year period. The market rate of interest for similar notes is 12%. Prepare Shlee Corporation's January 1 journal entry
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