USA Problems when converting preferred shares to common shares

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Company A issues 1,000 shares of stated preferred shares at $75 per share. 1 preferred share can converted into 10 common shares no par value. Assumed 1,000 state preferred shares are converted.
Dr Preferred Share 75,000
Excess of stated value 25,000
Cr Common Share 100,000
( this is all record from an accounting book )

I understand that 75,000 = $75 * # of stated preferred shares. I am unsure how or where they get 100,000 value common share since the book doesn't have the explanation.
 

kirby

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Looks like the book left out that the preferred was issued at $100 a share. So then when you retired the 1,000 sh of pfd you DR Preferred $75K and DR Excess of stated value $25K.- a total of $100K
 

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