When Resisto Systems Inc was formed, the company was authorized to issue 5000 shares of $100 par value, 8 percent cumulative preferred stock, and 100,000 shares of $2 stated value common stock.

Half of the preferred stock was issued at a price of $103 per share, and 70,000 shares of the common stock were sold for $13 per share. At the end of the currenr ywar, Resisto has retained earnings of $475,000.

a. Prepare the stockholder's equity section of the company's balnce sheet at the end of the current year.