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Exercise 10-8 (Algo) Prepare the stockholders' equity section (LO10-7) The Golden Mushroom has two classes of stock authorized: 9%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 2024, its first year of operations: January 2 Issues 100,000 shares of common stock for $19 per share. February 6 Issues 1,400 shares of 98 proferred stock for $11 per share. Soptember 10 purchases 11,000 shares of its own common stock for $24 per share. Dece-ber 15 Resells 5,500 shares of treasury stock at $29 per share. In its first year of operations, The Golden Mushroom has net income of $144,000 and pays dividends at the end of the year of $94,500 (\$1 per share) on all common shares outstanding and $1,260 on all preferred shares outstanding. Required: Prepare the stockholders' equity section of the balance sheet for The Golden Mushroom as of December 31, 2024. (Amounts to be deducted should be indicated by a minus sign.) In its first year of operations, The the year of $94,500 ( $1 per share) on all common shares outstanding and $1,260 on all pre outstanding. Required: Prepare the stockholders' equity section of the balance sheet for The Golden Mushroom as (Amounts to be deducted should be indicated by a minus sign.)

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