Although Oriole Company has enough retained earnings legally to declare a dividend, its working capital is low. The board of directors is considering a stock dividend instead of a cash dividend. The common stock is currently selling at $34 per share. The following is Oriole's current shareholders' equity:

Common stock, $10 par $400,000 Additional paid-in capital on common stock 800,000 Total contributed capital $1,200,000 Retained earnings 1,300,000 Total shareholders' equity $2,500,000

Assuming that a 30% stock dividend is declared and issued, prepare the shareholders' equity section immediately after the date of issuance.