On December 3, 2020, Ravenwing Industries, Inc. issued 900 shares of 3$ par value common stock and 300 shares of $40 par value cumulative preferred stock for total lump sum of $54,030. On that date, the market value of the common stock was $39 per share and the market value of the preferred stock was $72 per share. Issue costs were $3,000.

a. Give the journal entry for the lump-sum issuance of the stock on December 3, 2020.

b. From your answer above, derive as we practiced in class the amount of APIC- Preferred Stock. Ignore any rounding errors. You must label each step. Do not just show the numbers; say what each number represents.