At January $1,2024,$ Transit Developments owed First City Bank Group $$600,000,$ under an $11\%$ note with three years remaining to maturity.Due to financial difficulties, Transit was unable to pay the previous years interest.First City Bank Group agreed to settle Transits debt in exchange for land having a fair value of $$450,000.$Transit purchased the land in $2020$ for $$325,000.$Required:Prepare the journal entry$($s$)$ to record the restructuring of the debt by Transit Developments.Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field

Required:

Prepare the journal entry$($s$)$ to record the restructuring of the debt by Transit Develop Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry requir

$(3)$ Record any necessary adjustment prior to recording the exchange for debt.

$2$ Record the exchange of land to settle debt.