Answer:
Total stockholders' equity is $7,291,200
Step-by-step explanation:
The stockholders' equity section of the balance sheet is prepared as balance sheet extract below:
Common stock ($4 stated value) $2,560,000
Preferred stock $960,000
Total capital stock $3,520 ,000
paid in capital common stock $1,680,000
paid in capital preferred stock $72,000
Total paid in capital $5,272,000
Retained earnings $2,134,400
Total paid capital and retained earnings $7,406,400
treasury stock ($115,200)
total stockholders' equity $7,291,200
Every line item is meant to added in arriving at the stockholders' total equity except for treasury stock