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Business, 23.04.2021 20:10 anashaye

Shelby Corporation was organized in January to operate an air-conditioning sales and service business. The charter issued by the state authorized the following capital stock: Common stock, $1 par value, 200,000 shares.
Preferred stock, $10 par value, 6 percent, 50,000 shares.

During January and February, the following stock transactions were completed:

a. Collected $324,000 cash and issued 18,000 shares of common stock.
b. Issued 14,000 shares of preferred stock at $28 per share; collected in cash

Net income for the year was $59,000; cash dividends declared and paid at year-end were $10,000.

Required:
Prepare the stockholders' equity section Of the balance sheet at December 31.

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