P11-2 (Static) Preparing the Stockholders' Equity Section of the Balance Sheet LO 11-1, 11-3, 11-7, 11-8 Witt Corporation received its charter during January of this year. The charter authorized the following stock: Preferred stock: 10 percent, $10 par value, 21,000 shares authorized Common stock: $8 par value, 50,000 shares authorized During the year, the following transactions occurred in the order given: a. Issued 40,000 shares of the common stock for $12 per share. b. Sold 5,500 shares of the preferred stock for $16 per share. c. Sold 3,000 shares of the common stock for $15 per share and 1,000 shares of the preferred stock for $26 per share. d. Net income for the year was $96,000. Required: Prepare the stockholders' equity section of the balance sheet at the end of the year. Required: Prepare the stockholders' equity section of the balance sheet at the end of the year. WITT CORPORATION Balance Sheet (Partial) At December 31, This Year Stockholders' equity: Contributed capital: Preferred stock Common stock Additional paid-in capital, common stock Additional paid-in capital, preferred stock 0 Total contributed capital Retained earnings Total stockholders' equity $ 0