How much of the proceeds would be allocated to common stock

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Question 1: Waterway Industries issued 10500 shares of its $5 par value common stock having a fair value of $25 per share and 14200 shares of its $15 par value preferred stock having a fair value of $30 per share for a lump sum of $516000. How much of the proceeds would be allocated to the common stock?

Option 1: $288750

Option 2: $262500

Option 3: $319268

Option 4: $196732

Reference no: EM132588456

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