On December 1 of the current year, the following accounts and their balances appear in the ledger of Latte Corp., a coffee processor:

Preferred 2% Stock, $50 par (250,000 shares authorized, 80,000 shares issued)	$4,000,000
Paid-In Capital in Excess of ParPreferred Stock	560,000
Common Stock, $35 par (1,000,000 shares authorized, 400,000 shares issued)	14,000,000
Paid-In Capital in Excess of ParCommon Stock	1,200,000
Retained Earnings	180,000,000

At the annual stockholders meeting on March 31, the board of directors presented a plan for modernizing and expanding plant operations at a cost of approximately $11,000,000. The plan provided (a) that a building, valued at $3,375,000, and the land on which it is located, valued at $1,500,000, be acquired in accordance with preliminary negotiations by the issuance of 125,000 shares of common stock valued at $39 per share, (b) that 40,000 shares of the unissued preferred stock be issued through an underwriter, and (c) that the corporation borrow $4,000,000. The plan was approved by the stockholders and accomplished by the following transactions:

May	11	Issued 125,000 shares of common stock in exchange for land and a building, according to the plan.
	20	Issued 40,000 shares of preferred stock, receiving $52 per share in cash.
	31	Borrowed $4,000,000 from Laurel National, giving a 5% mortgage note.

Required:

Journalize the entries to record the May transactions. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.