Northwest Territories Inc. has the following shareholders' equity information:

Northwest's incorporation authorizes the company to issue \(10,000 \$ 5\) cumulative preferred shares and 400,000 common shares. The company issued 1,000 preferred shares at \(\$ 100\) per share. It issued 100,000 common shares for a total of \(\$ 370,000\). The company's Retained Earnings balance at the beginning of 2020 was \(\$ 40,000\), and net income for the year was \(\$ 90,000\). During 2020, Northwest declared the specified dividend on preferred shares and a \(\$ 0.50\) per-share dividend on common shares. Preferred dividends for 2019 were in arrears.

{Requirement}

Prepare the shareholders' equity section of Northwest Territories Inc.'s balance sheet at December 31, 2020. Show the computation of all amounts. Journal entries are not required.