Shelby Corporation was organized in January 2013 to operate an air conditioning sales and service business. The charter issued by the state authorized the following capital stock:

Common stock, $1 par value, 200,000 shares.

Preferred stock, $10 par value, 6 percent, 50,000 shares.

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During January and February 2013, the following stock transactions were completed:

a.	Collected $144,000 cash and issued 12,000 shares of common stock.
b.	Issued 11,000 shares of preferred stock at $22 per share; collected in cash.

Net income for 2013 was $42,000; cash dividends declared and paid at year-end were $10,000.

Required:

Prepare the stockholders