The company issued a convertible promissory note with a principal amount of $880,000 for a purchase price of $800,000. The note carries a 10% annual interest rate, with $88,000 of interest guaranteed and earned as of the issue date. The note matures in 12 months and includes a conversion price of $5.00 per share. The company issued 10,000 shares of common stock as commitment shares to the buyer. Proceeds are designated for business development and general working capital. The company is required to make monthly amortization payments starting 180 days after the closing date.