Tandy Company was issued a charter by the state of Indiana on January 15 of this year. The charter authorized the following:

Common stock, $6 par value, 112,000 shares authorized

Preferred stock, 11 percent, par value $11 per share, 4,300 shares authorized

During the year, the following transactions took place in the order presented:

1. Sold and issued 21,400 shares of common stock at $22 cash per share.
2. Sold and issued 2,000 shares of preferred stock at $26 cash per share.
3. At the end of the year, the accounts showed net income of $41,500. No dividends were declared.

Required:

1. Prepare the stockholders equity section of the balance sheet at the end of the year.

Stockholders' equity: Contributed capital: Total contributed capital Total stockholders' equity TANDY, INCORPORATED Balance Sheet (Partial) At December 31, this year + $ 0 0