Glenn Grimes is the founder and president of Heartland Construction, a real estate development venture. The business transactions during February while the company was being organized are listed as follows.

Feb.1Grimes and several others invested $500,000 cash in the business in exchange for 30,000 shares of capital stock.Feb.10The company purchased office facilities for $330,000, of which $110,000 was applicable to the land and $220,000 to the building. A cash payment of $66,000 was made and a note payable was issued for the balance of the purchase price.Feb.16Computer equipment was purchased from PCWorld for $13,500 cash.Feb.18Office furnishings were purchased from Hi-Way Furnishings at a cost of $8,950. A $895 cash payment was made at the time of purchase, and an agreement was made to pay the remaining balance in two equal installments due March 1 and April 1. Hi-Way Furnishings did not require that Heartland sign a promissory note.Feb.22Office supplies were purchased from Office World for $395 cash.Feb.23Heartland discovered that it paid too much for a computer printer purchased on February 16. The unit should have cost only $350, but Heartland was charged $385. PCWorld promised to refund the difference within seven days.Feb.27Mailed Hi-Way Furnishings the first installment due on the account payable for office furnishings purchased on February 18.Feb.28Received $35 from PCWorld in full settlement of the account receivable created on February 23.

Required:

a.Prepare journal entries to record the above transactions. Select the appropriate account titles from the following chart of accounts.

CashLandAccounts ReceivableOffice BuildingOffice SuppliesNotes PayableOffice FurnishingsAccounts PayableComputer SystemsCapital Stock