On June 1, ACME Corporation, declared and issued a 15% stockdividend to each of its 400,000 outstanding shares of $2 par value common stock. On November 1, ACME declared a 4-for-1 stock splitand changed its par value accordingly. The market value of ACME's stock was $10 per share on June 1 and $14 per share on November 1. Immediately before the stock dividend, ACME's stockholders' equity appeared as follows:
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Common stock (400,000 $2 par shares issued)
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$ 800,000
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Paid-in capital in excess of par
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1,200,000
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Contributed capital
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2,000,000
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Retained earnings
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1,000,000
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Total stockholders' equity
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$3,000,000
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Prepare the stockholders' equity section after the stockdividend and stock split.