Exercise 11-13 Preparing stockholders' equity section LO P1, C2, P3, C3 In Draco Corporation's first year of business, the following transactions affected its equity accounts. Issued 7,800 shares of $2 par value common stock for $56. It authorized 20,000 shares. Issued 1,950 shares of 12%, $10 par value preferred stock for $61. It authorized 3,000 shares. Reacquired 390 shares of common stock for $68 each. Retained earnings is impacted by reported net income of $88,000 and cash dividends of $34,000. Prepare the stockholders' equity section of Draco's balance sheet as of December 31. (Amounts to be deducted should be indicated by a minus sign.) DRACO CORPORATION Stockholders' Equity Section of the Balance Sheet December 31 Total stockholders' equity