McVille company was formed on July 1, 2017. IT was authorized to issue 500,000 shares of $10 par value common stock and 100,000 shares of 4%, $25 par value, cumulative and nonparticipating preferred stock. McVille company has a July1-June30 fiscal year. The following information relates to the stockholders' equity accounts of McVille Company. Common Stock: Prior to the 2019-2020 fiscal year, McVille company had 110,000 shares of outstanding common stock issued as follows. 1. 95,000 shares were issued for cash on July 1, 2017, at $31 per share. 2. On July 24, 2017, 5,000 shares were exchanged for a plot of land which cost the seller $70,000 in 2011 and had an estimated fair value of $220,000 on July 24, 2017. 3. 10,000 shares were issued on March 1, 2019, for $42 per share. During the 2019-2020 fiscal year, the following transactions regarding common stock took place. November 30, 2019. McVille purchased 2,000 shares of its own stock on the open market at $39 per share. McVille uses cost method to account for their treasury stock. December 15, 2019. McVille declared a 5% stock dividend for stockholders of record on January 15, 2020, to be issued on January 31, 2020. McVille was having a liquidity problem and could not afford a cash dividend at the time. McVille's common stock was selling at $52 per share on December 15, 2019. June 20, 2020. McVille sold 500 shares of its own common stock that it had purchased on November 30, 2019, for $21,000. Preferred Stock: McVille issued 100,000 shares of preferred stock at $44 per share on July 1, 2018. Cash Dividends: McVille has followed a schedule of declaring cash dividends in December and June, with payment being made to stockholders of record in the following month. The cash dividends which have been declared since inception of the company through June 30,2020, are shown below: Declaration Date Common Stock Preferred Stock 12/15/2018 $0.30 per share $0.50 per share 6/15/2019 $0.30 per share $0.50 per share 12/15/2019 $0.50 per share No cash dividends were declared during June 2020 due to the company's liquidity problems. Retained earnings: As of June 30, 2019, McVille retained earnings account had a balance of $550,000. For the fiscal year ending June 30, 2020, McVille reported net income of $120,000. Prepare the stockholders' equity section of the balance sheet, including appropriate notes, for McVille Company as of June 30, 2020, as it should appear in its annual report to the shareholders. McVille company was formed on July 1, 2017. IT was authorized to issue 500,000 shares of $10 par value common stock and 100,000 shares of 4%, $25 par value, cumulative and nonparticipating preferred stock. McVille company has a July1-June30 fiscal year. The following information relates to the stockholders' equity accounts of McVille Company. Common Stock: Prior to the 2019-2020 fiscal year, McVille company had 110,000 shares of outstanding common stock issued as follows. 1. 95,000 shares were issued for cash on July 1, 2017, at $31 per share. 2. On July 24, 2017, 5,000 shares were exchanged for a plot of land which cost the seller $70,000 in 2011 and had an estimated fair value of $220,000 on July 24, 2017. 3. 10,000 shares were issued on March 1, 2019, for $42 per share. During the 2019-2020 fiscal year, the following transactions regarding common stock took place. November 30, 2019. McVille purchased 2,000 shares of its own stock on the open market at $39 per share. McVille uses cost method to account for their treasury stock. December 15, 2019. McVille declared a 5% stock dividend for stockholders of record on January 15, 2020, to be issued on January 31, 2020. McVille was having a liquidity problem and could not afford a cash dividend at the time. McVille's common stock was selling at $52 per share on December 15, 2019. June 20, 2020. McVille sold 500 shares of its own common stock that it had purchased on November 30, 2019, for $21,000. Preferred Stock: McVille issued 100,000 shares of preferred stock at $44 per share on July 1, 2018. Cash Dividends: McVille has followed a schedule of declaring cash dividends in December and June, with payment being made to stockholders of record in the following month. The cash dividends which have been declared since inception of the company through June 30,2020, are shown below: Declaration Date Common Stock Preferred Stock 12/15/2018 $0.30 per share $0.50 per share 6/15/2019 $0.30 per share $0.50 per share 12/15/2019 $0.50 per share No cash dividends were declared during June 2020 due to the company's liquidity problems. Retained earnings: As of June 30, 2019, McVille retained earnings account had a balance of $550,000. For the fiscal year ending June 30, 2020, McVille reported net income of $120,000. Prepare the stockholders' equity section of the balance sheet, including appropriate notes, for McVille Company as of June 30, 2020, as it should appear in its annual report to the shareholders