In this session, I explain issuing stock for cash and noncash consideration. Virginia Corporation owned all of the voting common stock of Stateside Company.Each shareholder shall be entitled to one vote. Upon issuance, common stock is generally recorded at its fair value, which is typically the amount of proceeds received. Additional paid-in capital (APIC) is the plug. If the company sells the shares for more than the par value, then you would credit APIC. Although issuing common stock often increases cash flows, it doesn't always. Common stock has higher longterm growth potential than preferred stock but also has lower priority for dividends and a payout in the event of a liquidation. A resource for fiduciaries filing in henrico county virginia. Virginia articles of incorporation are filed to create a corporation.