Answer:
The preparation is presented below:
Explanation:
The preparation of the stockholder equity section of the balance sheet is presented below:
Common stock $1,900,000
Add: Additional paid in capital $16,100,000
Total paid in capital $18,000,000
Add: Retained earnings $9,100,000
Less: Treasury stock - $902,000
Total stockholders equity $26,198,000
We simply added the additional capital and retained earning and deduct the treasury stock so that the correct value could arrive
