Chipper Company had the following transactions during the year:
1. Land was purchased for $75,000 cash. This land was to be used for a new office building. It was agreed that Chipper Company would pay for the razing of a building currently on the land; this would cost $5,600, to be paid in cash.
2. Chipper Company contracted with Cody Construction to build the new office building. It was agreed that Chipper would pay Cody with 3,000 shares of Chipper common stock, a $16,000 note, and $32,000 in cash. Chipper's common stock was currently selling for $30 a share.
3. Chipper purchased some office equipment form Northern Office Equipment for $9,600 cash. Mr. Chipper was a close personal friend of the owner of Northern Office Equipment, and accordingly was sold this equipment at a price lower than normally would be charged. The prices charged to "normal" customers were as follows:
Desks and chairs $8,700
Bookcases 2,200
Filing cabinets 1,100
Total $12,000
Required:
Prepare journal entries for the above transactions.