Problem: Module $3$ Textbook Problem $13$

Learning Objectives:

$3-11$ Differentiate between common and preferred stock

$3-12$ Show how issuing different classes of stock affects financial statements

Eastport Inc. was organized on June $5,$ Year $1.$ It was authorized to issue $350,000$ shares of $$11$ par common stock and $60,000$ shares

of $5$ percent cumulative class A preferred stock. The class A stock had a stated value of $$20$ per share. The following stock

transactions pertain to Eastport Inc.:

Issued $21,000$ shares of common stock for $$16$ per share.

Issued $13,000$ shares of the class A preferred stock for $$25$ per share.

Issued $55,000$ shares of common stock for $$19$ per share.

Required

Prepare the stockholders' equity section of the balance sheet immediately after these transactions have been recognized.