14. On January 1, 2008, Washington, Inc. issues 900 shares of $100 par convertible preferred stock for $134/share. Each share of convertible preferred stock can be converted into J. shares of $10 par value common stock.

If preferred shareholders convert 200 shares of preferred stock into common stock, how much will Washington, Inc. record in the Common Stock account?

1. $0
2. $2,000
3. $6,000
4. $20,000
5. $26,800