Brief Exercise 10-40 (Algorithmic) Recording the Sole of Common and Preferred Stock At the end of its first year of operations, Mulligan Corporation has outstanding shares of 124,000 cornmon stock and 25 ,000 preferred stock. The State of ohio autherized Muligan to issue 26,000 shares of 6% preferred stock with a par value of $35 per share and 125,000 shares of common stock with a par value of $17 per share. Any preferred stock sold during the year had a selling price of $45.50 per share. Mulligan's common stock was issued at $27. Required: Prepare the joumal ontry to record the issuance of stock during the year. (Record sale of preferred and common stock)