AJSmith Company started business on January 1, 2020and the following transactions occurred in its first year: 1. 2 On January 1, the company issued common shares at $25 per share. On January the company purchased land and a building from another company in exchange for $82,000 cash and 6,000 shares . The land's value is approximately one-quarter of the total value of the transaction. (Hint: You need determine a value for the shares using the information given in transaction 1, and the land and building should be reco separate accounts.) 3. 4. 5. 6. 7. On March company rented out a portion of its building to Frantek Company Frantek is required to make quart payments of $8,500 on March 31. June 30, September 30 , and December 31 of each year . The first payment , covering period from April 1 to June 30, was received on March 31and the other payments were all received as scheduled . Equipment worth $125,000 was purchased on July in exchange for $62,500 cash and a one- year note with a principa amount of $ 62,500 and an interest rate of 10% . No principal or interest payments were made during the year .. Inventory costing $259,000 was purchased on account . Sales were \$387 of which credit sales were $ 337.500 . The inventory sold had a cost of 187.500 . Payments to suppliers totalled $204,000 Accounts receivable totalling $205,000 were collected 8 9. 10. Operating expenses amounted to $58,000 . all of which were paid in cash .