2. The stockholders' equity section of Fauberg Marigny Corporation at December 31 is as follows. FAUBERG MARIGNY CORPORATION Balance Sheet (partial) Paid-in capital Preferred stock, cumulative, 10,000 shares authorized, 5,000 shares issued and outstanding $300,000 Common Stock, no par, 750,000 shares authorized, Retained earnings 2,050,000 Total paid-in capital and retained earnings 3,850,000 Less: Treasury stock (5,000 common shares) 64,000 Total stockholders' equity $3,786,000 Instructions From a review of the stockholders' equity section, answer the following questions. (a) How many shares of common stock are outstanding? (b) Assuming there is a stated value, what is the stated value of the common stock? (c) What is the par value of the preferred stock? (d) If the annual dividend on preferred stock is $18,000, what is the dividend rate on preferred stock? (e) If dividends of $36,000 were in arrears on preferred stock, what would be the balance in Retained Earnings? 8. On January 1, 2017, Borse Company issued bonds with a face value of $800,000. The bonds carry a stated interest of 7% payable each January 1 . Instructions a. Prepare the journal entry for the issuance assuming the bonds are issued at 95 . b. Prepare the journal entry for the issuance assuming the bonds are issued at 105