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

Common stock, $10 par value, 103,000 shares authorized

Preferred stock, 9 percent, par value $8 per share, 4,000 shares authorized

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

a: Sold and issued 20,000 shares of common stock at $16 cash per share.

b: Sold and issued 3,000 shares of preferred stock at $20 cash per share.

c: At the end of the year, the accounts showed net income of $60,000. No dividends were declared.

Required:

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