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Question - Tandy, Incorporated, was issued a charter on January 15, 2011, that authorized the following capital stock:
Common stock, no-par, 107,000 shares
Preferred stock, 5 percent, par value $11 per share, 5,900 shares
The board of directors established a stated value on the no-par common stock of $13 per share. During 2011, the following selected transactions were completed in the order given:
a. Sold and issued 21,400 shares of the no-par common stock at $22 cash per share.
b. Sold and issued 1,400 shares of preferred stock at $26 cash per share.
c. At the end of 2011, the accounts showed net income of $41,100.
Required: Prepare the stockholders' equity section of the balance sheet at December 31, 2011.