Question
Morrison, Inc. issues 4,000 shares of its $5 par value common stock having a fair value of $25 per share and 6,000 shares of its
Morrison, Inc. issues 4,000 shares of its $5 par value common stock having a fair value of $25 per share and 6,000 shares of its $15 par value preferred stock having a fair value of $20 per share for a lump sum of $210,000. What amount of the proceeds should be allocated to the preferred stock? (The question means the total proceeds allocated to the Preferred Stock account and the Additional Paid In Capital - PS account together.)
| A. | $114,545 | |
| B. | $131,250 | |
| C. | $95,454 | |
| D. | $171,818 |
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The International Corporate Governance System Audit Roles And Board Oversight
Authors: F. Lessambo
1st Edition
134947178X, 978-1349471782
