The post-closing trial balance of Sheridan Corporation at December 31, 2022, contains the following stockholders' equity accounts. Preferred Stock (15,300 shares issued) $765,000 Common Stock (246,000 shares issued) 2,460,000 Paid-in Capital in Excess of Par-Preferred Stock 246,000 Paid-in Capital in Excess of Par-Common Stock 394,000 Common Stock Dividends Distributable 246,000 Retained Earnings 971,520 A review of the accounting records reveals the following. 1. 2. 3. No errors have been made in recording 2022 transactions or in preparing the closing entry for net income. Preferred stock is $50 par, 6%, and cumulative: 15,300 shares have been outstanding since January 1, 2021. Authorized stock is 20,300 shares of preferred, 492,000 shares of common with a $10 par value. 4. The January 1 balance in Retained Earnings was $1,160,000. 5. On July 1, 18,500 shares of common stock were issued for cash at $18 per share. 6. 7. On September 1, the company discovered an understatement error of $92,400 in computing salaries and wages expense in 2021. The net of tax effect of $64,680 was properly debited directly to Retained Earnings. A cash dividend of $246,000 was declared and properly allocated to preferred and common stock on October 1. No dividends were paid to preferred stockholders in 2021. 8. On December 31, a 10% common stock dividend was declared out of retained earnings on common stock when the market price per share was $18. 9. Net income for the year was $565,000. 10. On December 31, 2022, the directors authorized disclosure of a $201,000 restriction of retained earnings for plant expansion. (Use Note X.) (a) (b) Prepare a stockholders' equity section at December 31, 2022. (Enter account name only and do not provide descriptive information.) SHERIDAN CORPORATION Partial Balance Sheet SA 6 SA