North Wind Aviation received its charter during January 2007. The charter authorized the following capital stock:

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

Common stock: par $7, authorized 50,000 shares.

During 2007, the following transactions occurred in the order given:

a. Issued a total of 40,000 shares of the common stock to the company's founders for $11 per share.

b. Sold 5,000 shares of the preferred stock at $18 per share.

c. Sold 3,000 shares of the common stock at $14 per share and 1,000 shares of the preferred stock at $28.

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

Required:

Prepare the stockholders' equity section of the balance sheet at December 31, 2007.