Lump Sum Sale of Common Stock with Preferred Stock Hurley Inc. issues 600 shares of $5 par value common stock and 120 shares of $50 par value preferred stock for a lump sum of $55,000. The market value of the common is $84 per share and the market value of the preferred is $105 per share. Instructions: (a) Prepare the journal entry for the issuance using the proportional method. (b) Prepare the journal entry for the issuance using the incremental method when the market value of the common stock is $70 per share and the market value of the preferred stock is unknown..