On July 17, America Carpet Inc., a carpet wholesaler, issued for cash 150,000 shares of no-par common

Question:

On July 17, America Carpet Inc., a carpet wholesaler, issued for cash 150,000 shares of no-par (with a stated value of $5) at $36, and on September 20, it issued for cash 10,000 shares of $50 par preferred stock at $80.
a. Journalize the entries for July 17 and September 20, assuming that the is to be credited with the stated value.
b. What is the total amount invested (total paid-in capital) by all stockholders as of September 20?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...