Problem: Cainas Cookies issued 5,000 shares of $1 par value common stock for $12,000 and 1,000 shares of 5% preferred stock, $100 par value, for $100,000.  What journal entries should the company make for issuance of the stock?

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Cainas Cookies issued 5,000 shares of $1 par value common stock for $12,000 and 1,000 shares of 5% preferred stock, $100 par value, for $100,000.  What journal entries should the company make for issuance of the stock?

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