Prepare in Proper Form the Stockholders' Equity Section of the Balance

Essay

Prepare in proper form the stockholders' equity section of the balance sheet from the following selected accounts and balances taken from the adjusted trial balance of Waller Corporation as of December 31,20xx.
$$\text { Partial Adjusted Trial Gaalance }$$
$\begin{array}{|l|r|r|}\hline \text { Account } & \text { Debit } & \text { Credit } \\\hline \text { Common Stock- } \$ 10 \text { par value, } 90,000 \text { shares authorized, } 40,000 & \\\quad \text { shares issued and outstanding } && 400,000 \\\text { Preferred Stock- } \$ 100 \text { par value, } 7 \text { percent cumulative, } 50,000 \text { shares } & \\\quad \text { authorized, 8,000 shares issued and outstanding } && 800,000 \\\text { Additional Paid-in Capital, Preferred } & &30,000 \\\text { Additional Paid-in Capital, Common } && 200,000 \\\text { Retained Earnings } && 100,000 \\\hline\end{array}$