E11-6 Determining the Ending Balance of Retained Earnings, and Evaluating Dividend Policy LO11-1, 11-4, 11-5 The following account balances were selected from the records of Blake Corporation at December 31, year 2, after all adjusting entries were completed: Common shares (no par value; authorized 118,000 shares, issued 35,800 shares) Contributed surplus Dividends declared in year 2 Retained earnings, January 1, year 2 Correction of prior-period accounting error (a debit, net of income tax) Income summary for 2020 (credit balance) $716,000 172,000 21,600 78,600 8,900 30,700 The stock price was $22.99 per share on that date. Required: 1. Identify the amounts that would be reported in the retained earnings column of the statement of changes in equity for year 2. Items affecting Retained Earnings during year 2: Retained earnings, January 1 Correction of prior-period error Beginning balance, adjusted Net earnings for the year Total 0 0 Less: Dividends Retained earnings, December 31 $ 0 2. Prepare the shareholders' equity section of the statement of financial position at December 31, year 2. BLAKE CORPORATION Shareholders' Equity As at End of Year 2 Contributed capital: Common shares Contributed surplus Capital stock Total contributed capital Dividends shares Retained earnings Total shareholders' equity $ 0 $ 0 3. Compute and evaluate the dividend yield ratio. (Do not round intermediate calculations. Round percentage answer to 2 decimal places (i.e., 0.1243 should be entered as 12.43).) Dividend yield ratio %