Louisville Farms, is a breeder of racehorses. The CEO John Carter needs assistance and advice with his financials to allow him to concentrate on the horse breeding rather than trying to figure out the best accounting approaches. You have been recruited as a consultant by the CEO

QUESTION 3: (Points 35) 3.1. Why is noncumulative preferred stock often considered an unattractive form of investment? 3.2. State the balance sheet or income statement classification (asset, liability, stockholders' equity, revenue, or expense) of each of the following accounts: A. Cash (received from the issuance of capital stock). B. Organization Costs. C. Preferred Stock. D. Retained Earnings. E. Additional Paid-in Capital. F. Income Taxes Payable. 3.3. Louisville Farms, sold 10,000 shares of common stock, which has a par value of $8, for $13 per share. The company's balance in retained earnings is $75,000. Prepare the stockholders' equity section of the company's balance sheet