Shlee Corporation issued a 4-year, $87,900, zero-interest-bearing note to Garcia Company on January 1, 2014, and received cash of $87,900. In addition, Shlee agreed to sell merchandise to Garcia at an amount less than regular selling price over the 4-year period. The market rate of interest for similar notes is 15%.
Prepare Shlee Corporation's January 1 journal entry. (Round answers to 0 decimal places, e.g. 38,548. 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 amount is entered. Do not indent manually.)