On January 1, 2022,HeadlandAG makes the two following acquisitions.

1.Purchases land having a fair value of 220,000by issuing a4-year, zero-interest-bearing promissory note in the face amount of 333,975.2.Purchases equipment by issuing a6%,9-year promissory note having a maturity value of 280,000(interest payable annually).

The company has to pay11% interest for funds from its bank.

(a)Record the two journal entries that should be recorded byHeadlandAG for the two purchases on January 1, 2022.(b)Record the interest at the end of the first year on both notes.