Attorney Kristin Maloney invoiced Fleck for $ 27,600 and has agreed to accept 2,000 shares of its $ 0.01 ​par-value common stock in full payment for this invoice. Fleck issued the common stock to Attorney Maloney on January 29.

Attorney Kristin Maloney invoiced Fleck for $ 27,600 and has agreed to accept 2,000 shares of its $ 0.01 ​par-value common stock in full payment for this invoice. Fleck issued the common stock to Attorney Maloney on January 29.
Record the​ stock-issuance transaction for Fleck.

Answer
Most corporations set par value low and issue common stock for a price above par. When a corporation sells par value common stock for a price above​ par, the par value per share multiplied by the number of shares sold is credited to the Common Stock account. The difference between issue price and par value is​ Paid-in Capital.
January ​29: Fleck Corporation issues 2,000 shares of its $ 0.01 ​par-value common stock to Attorney Kristin Maloney.
Sometimes a corporation will issue shares of common stock in exchange for services​ rendered, either by employees or outsiders. In this​ case, no cash is exchanged.​ However, the transaction is recognized at fair market value. The corporation usually recognizes an expense for the fair market value of the services rendered. Common stock is increased for its par value​ (if any), and additional​ paid-in capital is increased for any difference.
​Let's begin by calculating the total par value of the stock issued to the attorney for services rendered.


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