Summit Apparel has the following accounts at December 31: Common Stock, $1 par value, 1,900,000 shares issued; Additional Paid-in Capital, $16.10 million; Retained Earnings, $9.10 million; and Treasury Stock, 41,000 shares, $0.902 million. Prepare the stockholders� equity section of the balance sheet.

The preparation is presented below:

Explanation:

The preparation of the stockholder equity section of the balance sheet is presented below:

Common stock$1,900,000

Add: Additional paid in capital$16,100,000

Total paid in capital$18,000,000

Add: Retained earnings$9,100,000

Less: Treasury stock- $902,000

Total stockholders equity$26,198,000

We simply added the additional capital and retained earning and deduct the treasury stock so that the correct value could arrive

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