Question

The stockholders' equity section of Miller Company's balance sheet as of January 1 is: Preferred Stock, $7, $18 par value; authorized 500,000 shares 2,000,000 Common Stock, $5 par value; authorized 2,000,000 shares; issued 400,000 shares 850,000 Paid-in Capital in Excess of Par Common Stock 3,000,000 Retained Earnings Prepare the following selected journal entries, if any, for year. 1. On Jan. 15, Miller issued 2,000 shares of common stock and 400 shares of preferred stock for a lump sum of $45,000. The market value of the common stock is $12 per share while the preferred stock has no ready market. gnore issuance costs Debit Credit