IBM Corporation issued 300 shares of $10 par value common stock and 100 shares of $50 par value preferred stock for a lump sum of $12,000. Common stock has a market value of $20 per share, and preferred stock has a market value of $90 per share. Use proportional method to allocate proceeds among different classes of securities and make the related journal entry of record the issuance of stock.

IBM Corporation issued 300 shares of $10 par value common stock and 100 shares of $50 par value preferred stock for a lump sum of $12,000. Common stock has a market value of $20 per share, and preferred stock has a market value of $90 per share. Use proportional method to allocate proceeds among different classes of securities and make the related journal entry of record the issuance of stock