North Wind Aviation received its charter during January authorizing the following capital stock: 

Preferred stock: 8 percent, par $ 10, authorized 20,000 shares. 

Common stock: par $ 1, authorized 50,000 shares. 

The following transactions occurred during the first year of operations in the order given: 

a. Issued a total of 40,000 shares of the common stock for $ 15 per share. 

b. Issued 10,000 shares of the preferred stock at $ 16 per share. 

c. Issued 3,000 shares of the common stock at $ 20 per share and 1,000 shares of the preferred stock at $16. 

d. Net income for the first year was $ 48,000. 

Required:

Prepare the stockholders equity section of the balance sheet at December 31.