A company is authorized to issue 50,000 shares of $50 par value, 8%, cumulative fully participating preferred stock and 750,000 shares of $5 par value common stock. Prepare journal entries to record the following selected transactions that occured during the company's first year operations:

May 5 Exchanged 2,000 shares of preferred stock for a building with a market value of $135,000

July 20 Sold 1,550 shares of preferred stock for $50 cash per share.

Dec. 20 Sold 1,000 shares of preferred stock at $55 cash per share.