Question

Brief Exercise 15-4 Culver Corporation issued 328 shares of $10 par value common stock and 113 shares of $50 par value preferred stock for a lump sum of $15,057. The common stock has a market price of $20 per share, and the preferred stock has a market price of $90 per share. Prepare the journal entry to record the issuance. (Round intermediate calculations to 6 decimal places, e.g. 0.546872 and final answers to O decimal places, e.g., 1,520. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Account Titles and Explanation Debit Credit Cash 15,057 Common Stock 3280 Preferred Stock 5650 Paid-in Capital in Excess of Par - Preferred Stock Paid-in Capital in Excess of Par - Common Stock SHOW LIST OF ACCOUNTS LINK TO TEXT

Answer 1

Account titles and Explanation	Debit	Credit
Cash	15057
Common Stock		3280	=328*10
Paid in Capital in excess of par-Common Stock		2624	=5904-3280
Preferred Stock		5650	=113*50
Paid in Capital in excess of par-Preferred Stock		3503	=9153-5650
Workings:
Market value of Common Stock	6560	=328*20
Market value of Preferred Stock	10170	=113*90
Total Market value	16730
Allocated to Common Stock	5904	=15057*6560/16730
Allocated to Preferred Stock	9153	=15057*10170/16730