In 2015, Lee Ann Adams and some college friends organized The Candy Jar, a gourmet candy company. In 2015, The Candy Jar issued 140,000 of the 300,000 authorized shares of common stock, par value $22, for $3,080,000 and all the 60,000 authorized shares of 10%, $22 par, cumulative preferred stock for $1,320,000. Combined earnings for 2015, 2016, 2017, and 2018 amounted to $1,250,000. Dividends paid in the four years were as follows: 2015—$120,000; 2016—$360,000; 2017—$0; 2018—$180,000.

1. Prepare the equity section of the balance sheet as of December 31, 2018, for The Candy Jar.

The Candy Jar
Partial Balance Sheet
December 31, 2018

Equity
Contributed Capital:
Preferred Stock
Common Stock
Paid-In Capital in Excess of Par, Preferred Stock
Paid-In Capital in Excess of Par, Common Stock
Total Contributed Capital
Retained Earnings
Total Equity