Acorn Growth Limited is a small technology company listed on the TSX. To conserve cash, the company frequently settles obligations through the issuance of rights and options. Shares are now trading for \(\$ 8\) per share, but have fluctuated between \(\$ 5\) and \(\$ 22\) in the last year. Selected transactions:

a. Sold 10,000 rights that allow purchase of 2,000 common shares at \(\$ 4\) per share. The options were sold for \(\$ 71,200\) cash.

b. Issued 10,000 rights to the company lawyer for legal work done to date. These options also allow purchase for 2,000 shares at \(\$ 4\) per share. The lawyer had billed \(\$ 86,000\), but the company felt it could have negotiated this down to \(\$ 65,000\) for cash payment.

c. Issued rights to a supplier allowing the supplier to receive 2,000 common shares in three years' time, for no cash cost. The rights have been granted based on the long service relationship between the two companies and are unconditional.

d. Options in (a) and (c) above were exercised when the shares were trading at \(\$ 25\) per share. Options in (b) later expired.

Required:

Provide journal entries to record the transactions listed above. Justify values used.