E11-3 (Algo) Determining the Effects of the Issuance of common and Preferred Stock LO11-1, 11-3, 11-7, 11-8 Tandy Company was issued a charter by the state of Indiana on January 15 of this year. The charter authorized the following: Common stock. $9 par value, 110,000 shares authorized Preferred stock, 13 percent, par value $14 per share, 5100 shares authorized During the year, the following transactions took place in the order presented: a. Sold and issued 20,900 shares of common stock at $28 cash per share. b. Sold and issued 1,200 shares of preferred stock at $32 cash per share. c. At the end of the year, the accounts showed net income of $41,400. No dividends were declared. Required: 1. Prepare the stockholders' equity section of the balance sheet at the end of the year