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Stengel Company was organized on March 1 , 2 0 2 5 . It is authorized to issue 2 0 , 0 0 0 shares

Stengel Company was organized on March 1,2025. It is authorized to issue 20,000 shares of 5%, $100 par value preferred stock, and 1,500,000 shares of no-par common stock with a stated value of $1 per share. The following stock transactions were completed during the first year.
August 1
Issued 10,000 shares of common stock to attorneys in payment of their bill of $35,000 for services rendered in helping the company organize.
November 1
Issued 10,000 shares of common stock and 1,000 shares of preferred stock for a lump sum of $280,000. The fair value of the common stock is $120,000. The fair value of the preferred stock cannot be determined. Record the journal entries for both the transactions.

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