1.

Mouser Company issues 4,000 shares of its $5 par value common stock having a market value of $25 per share and 6,000 shares of its $15 par value preferred stock having a market value of $20 per share for a lump sum of $192,000. What amount of the proceeds should be allocated to the preferred stock?

	a.	$172,000
	b.	$120,000
	c.	$104,727
	d.	$90,000

2.

Adler Corporation has 50,000 shares of $10 par common stock authorized. The following transactions took place during 2011, the first year of the corporations existence.

• Issued 5,000 shares of common stock for $18 per share.

• Issued 5,000 shares of common stock in exchange for a patent valued at $100,000.

At the end of the Adlers first year, total paid-in capital amounted to

	a.	$40,000
	b.	$90,000
	c.	$100,000
	d.	$190,000