On July 26, Birch Corporation issued 3,000 shares of its $1 par value common stock upon conversion of 2,000 shares of $50 par value preferred stock. The preferred stock was originally issued at $65 per share. The common stock is trading at $29 per share at the time of conversion. The journal entry to record the conversion of the preferred shares would include a:

		debit to preferred stock for $130,000
		credit to common stock for $3,000
		credit to paid in capital - preferred stock for $30,000
		credit to common stock for $2,000