After several years of experience as a real estate broker, Helen Finley organized her own firm on July 1 under the name of Helen Finley & Associates. During July the company had the following transactions prior to beginning regular operations.

(a) On July 1, Helen Finley opened a bank account in the name of the new company with a deposit of $150,000.

(b) On July 3, Helen Finley & Associates bought land for use in its operations at a total cost of $120,000. A cash down payment of $80,000 was made and a note payable was issued for the balance.

(c) On July 5, a movable building was purchased and installed on the lot at a cost of $38,000. Paid cash.

(d) On July 10, office equipment was purchased on credit from Dell Office Equip¬
ment at a cost of $2,200. The account payable was to be paid within 30 days.

(e) On July 31, a cash payment of $15,000 was made in partial settlement of the note payable issued on July 3.
Instructions a Prepare an analysis of each of the above transactions. The form of analysis to be used is as follows, using transaction

(a) above as an example.
(1) The asset Cash was increased. Increases in assets are recorded by debits. Debit Cash, $150,000.
(2) The owner’s equity was increased. Increases in owner’s equity are recorded by credits. Credit Helen Finley, Capital, $150,000.
b Prepare journal entries for the above five transactions. Include an explanation as a part of each journal entry.