Brief Exercise 10-40 (Algorithmic) Recording the Sale of Common and Preferred Stock

At the end of its first year of operations, Mulligan Corporation has outstanding shares of 136,000 common stock and 19,000 preferred stock. The State of Ohio authorized Mulligan to issue 20,000 shares of 6% preferred stock with a par value of $40 per share and 137,000 shares of common stock with a par value of $4 per share. Any preferred stock sold during the year had a selling price of $60.00 per share. Mulligan's common stock was issued at $14.

Required:

Prepare the journal entry to record the issuance of stock during the year.

	Cash	fill in the blank 2	fill in the blank 3
	Preferred Stock	fill in the blank 5	fill in the blank 6
	Additional Paid-In Capital-Preferred Stock	fill in the blank 8	fill in the blank 9
	Common Stock	fill in the blank 11	fill in the blank 12
	Additional Paid-In Capital-Common Stock	fill in the blank 14	fill in the blank 15
	(Record sale of preferred and common stock)