Logan Corporation issues 40,000 shares of $50 par value preferred stock for cash at $60 per share. The entry to record the transaction will consist of a debit to Cash for $2,400,000 and a credit or credits to
a. Preferred Stock for $2,400,000.
b. Preferred Stock for $2,000,000 and Paid-in Capital in Excess of Par Value-Preferred Stock for $400,000.
c. Preferred Stock for $2,000,000 and Retained Earnings for $400,000.
d. Paid-in Capital from Preferred Stock for $2,400,000.