Part b. Prepare the December 31, 2020, stockholders equity section of the balance sheet assuming the company reports 2017 net income of $250,000

Question 3 (18 Marks) Eugene Inc.'s statement of stockholders' equity on December 31, 2019 is as follows: 6% cumulative preferred stock, $85 par 10,000 shares authorized; 6,000 shares issued and outstanding Common stock, $1 par, 500,000 share authorized; 400,000 shares issued and outstanding Paid-in capital in excess of par - Preferred stock Paid-in capital in excess of par - Common stock Retained earnings Total stockholders' equity $0 400,000 30,000 1,500,000 350,000 $2,280,000 The following transactions occurred during 2020: 28 Feb Issued 2,000 shares of preferred stock for $85 per share. 5 May - Issued 40,000 shares of common stock for $12.50 per share. 12 July - Repurchased 10,000 shares of common stock at $12.50 per share. 20 November - Sold 7,500 shares of treasury stock bought on July 12 for $20 per share. a. Use the financial statement effects template, below, to record these transactions. Balance Sheet Income Statement Liabilitie Net Transaction Cash Asset + Noncash Assets + Contrib. Capital + Earned Captial Revenues Expenses = S Income - = II - - = 11