Whispering Winds Corporation is authorized to issue 22,500 shares of $50 par value, 10% preferred stock and 130,000 shares of $5 par value common stock. On January 1, 2022, the ledger contained the following stockholders equity balances.

Preferred Stock (10,500 shares)		$525,000
Paid-in Capital in Excess of ParPreferred Stock		73,500
Common Stock (68,500 shares)		342,500
Paid-in Capital in Excess of ParCommon Stock		700,000
Retained Earnings		310,000

During 2022, the following transactions occurred.

Feb.	1		Issued 2,000 shares of preferred stock for land having a fair value of $125,000.
Mar.	1		Issued 1,300 shares of preferred stock for cash at $70 per share.
July	1		Issued 16,000 shares of common stock for cash at $7 per share.
Sept.	1		Issued 400 shares of preferred stock for a patent. The asking price of the patent was $28,000. Market price for the preferred stock was $70 and the fair value for the patent was indeterminable.
Dec.	1		Issued 8,000 shares of common stock for cash at $7.50 per share.
Dec.	31		Net income for the year was $260,000. No dividends were declared.

(a)

Journalize the transactions and the closing entry for net income