2. Prepare the statement of stockholders' equity for Longhorn Corporation. LONGHORN CORPORATION Statement of Stockholders' Equity Total Retained Stockholders Earnings Common Stock Equity Beginning balance Issuance of common stock Add: Net income Less: Dividends Ending balance 39,000 0 0 3. Prepare the balance sheet for Longhorn Corporation. LONGHORN CORPORATION Balance Sheet Assets Liabilities 4,300 Cash Supplies Equipment Buildings 1,300 Accounts payable 3,300 Salaries payable 900 28,500 39,000 Total liabilities Stockholders' Equity Common stock Retained earnings Total stockholders' equity 0 Total assets $72,100T Total liabilities and stockholders' equity