Answer:
Explanation:
The preparation of the stockholders' equity section of the balance sheet for Donnie Hilfiger as of December 31, 2015 is presented below:
                                                 DONNIE HILFIGER
                                                      Balance Sheet
                                          (Stockholders' Equity Section)
                                           As of December 31, 2015
Common stock $350,000
Preferred stock $1,000,000
Additional paid in capital $3,200,000
Total paid in capital $4,550,000
Retained earnings $,1600,000
Total  $6,150,000
Less: Treasury stock - $400,000
Total Stock holders equity $5,750,000