Peeler company was incorporated A new business on January 1, 2010. The corporate charter approved on that date authorized the issuance of 1,000 shares of $100 par, 7% cumulative, nonparticipating preferred stock and 10,000 shares of $5 par common stock. On January 10, Peeler issued for cash 500 shares of preferred stock at $120 per share and 4,000 shares of common stock at $80 per share. On January 20, it issued 1,000 shares of common stock to acquire a building site at a time when the stock was selling for $70 a share.
During 2010, Peeler established an employee benefit plan and acquired 500 shares of common stock at $60 per share as treasury stock for that purpose. Later in 2010, it resold 100 shares of the stock at $65 per share
On December 31, 2010, Peeler determined its net income for the year to be $40,000. The firm declared the annual cash dividend to preferred stockholders and a cash dividend to $5 per share to the common stockholders. The dividends will be payed in 2011.
Required:
Develop the Stockholder's Equity category of Peeler's balance sheet as of December 31,2010. Indicate on the statement the number of shares authorized,issued, and outstanding for both preferred and common stock.