Blue Corporation is authorized to issue an unlimited number of $5 cumulative preferred shares and an unlimited number of common shares. On February 1, 2020, the general ledger contained the following shareholders' equity accounts: Preferred shares (10,000 shares issued) $500,000 Common shares (40,000 shares issued) 560,000 Retained earnings 733,000 The following equity transactions occurred during the year ended January 31, 2021: Feb. 28 Issued 5,000 preferred shares for $280,000. Apr. 12 Issued 220,000 common shares for $3.30 million. May 25 Jan. 1 Jan. 31 Issued 5,000 common shares in exchange for land. At the time of the exchange, the land was valued at $70,000. Paid dividend of $2.50 per share to preferred shareholders. A loss of $43,000 was incurred for the year.