Exercise 10-7B Prepare the stockholders' equity section (L010-7) A company has two classes of stock authorized: 8%, $10 por preferred, and $1 par value common. The following transactions affect stockholders' equity during Year 1, its first year of operations January 2 Issues 100,000 shares of common stock for $31 per share. February 6 Issues 2,600 shares of 8 preferred stock for 512 per share. September 10 Purchases 10,000 shares of its own common stock for $36 per share, December 15 Resells 5,000 shares of treasury stock at $41 per share. In its first year of operations, the company has net income of $156,000 and pays dividends at the end of the year or $95,000 ($1 per shore) on all common shares outstanding and $2,080 on all preferred shares outstanding Required: Prepare the stockholders' equity section of the balance sheet for the company as of December 31, Year 1 (Amounts to be deducted should be indicated by a minus sign.) Balance Sheet Stockholders' Equity Section) December 31. Year 1 Stockholdersequity Total paid in capital Total stockholders' equity