Question: At January 1 , 2 0 2 4 , Transit Developments owed First City Bank Group $ 7 8 0 , 0 0 0 ,

At January 1,2024, Transit Developments owed First City Bank Group $780,000, under an 10% note with three years remaining to maturity.
Due to financial difficulties, Transit was unable to pay the previous year's interest.
First City Bank Group agreed to settle Transits debt in exchange for land having a fair value of $630,000.
Transit purchased the land in 2020 for $415,000.

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