Stock Transactions for Corporate Expansion

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, $25 par (300,000 shares authorized, 80,000 shares issued)	$2,000,000
Paid-In Capital in Excess of ParPreferred Stock	400,000
Common Stock, $100 par (700,000 shares authorized, 250,000 shares issued)	25,000,000
Paid-In Capital in Excess of ParCommon Stock	2,000,000
Retained Earnings	50,000,000

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 $13,600,000. The plan provided (a) that a building, valued at $3,900,000, and the land on which it is located, valued at $5,700,000, be acquired in accordance with preliminary negotiations by the issuance of 90,000 shares of common stock, (b) that 70,000 shares of the unissued preferred stock be issued through an underwriter, and (c) that the corporation borrow $1,900,000. The plan was approved by the stockholders and accomplished by the following transactions:

May 11.	Issued 90,000 shares of common stock in exchange for land and a building, according to the plan.
May 20.	Issued 70,000 shares of preferred stock, receiving $30 per share in cash.
May 31.	Borrowed $1,900,000 from Laurel National, giving a 6% mortgage note.

Required:

Journalize the entries to record the foregoing transactions.

For a compound transaction, if an amount box does not require an entry, leave it blank.

May 11. Issued 90,000 shares of common stock in exchange for land and a building, according to the plan.

May 11		fill in the blank 391f97024066f99_2	fill in the blank 391f97024066f99_3
		fill in the blank 391f97024066f99_5	fill in the blank 391f97024066f99_6
		fill in the blank 391f97024066f99_8	fill in the blank 391f97024066f99_9
		fill in the blank 391f97024066f99_11	fill in the blank 391f97024066f99_12

May 20. Issued 70,000 shares of preferred stock, receiving $30 per share in cash.

May 20		fill in the blank 5e2894f67015fdc_2	fill in the blank 5e2894f67015fdc_3
		fill in the blank 5e2894f67015fdc_5	fill in the blank 5e2894f67015fdc_6
		fill in the blank 5e2894f67015fdc_8	fill in the blank 5e2894f67015fdc_9

May 31. Borrowed $1,900,000 from Laurel National, giving a 6% mortgage note.

May 31		fill in the blank 91361afcc042fac_2
			fill in the blank 91361afcc042fac_4