Multigrain Health Foods Inc. is authorized to issue 5,000,000 common shares. In its initial public offering during 2010, Multigrain issued 500,000 common shares for $7.00 per share. Over the next year, Multigrains share price increased and the company issued 400,000 more shares at an average price of $8.50. During the next seven years, from 2010 to 2016, Multigrain earned net income of $920,000 and declared and paid cash dividends of $140,000. A 10% stock dividend was distributed to the shareholders in 2016 on the shares outstanding. The market price was $8.00 per share when the stock dividend was distributed. At December 31, 2016, the company has total assets of $14,500,000 and total liabilities of $6,820,000. Show the computation of Multigrains total shareholders equity at December 31, 2016. Present a detailed computation of each element of shareholders equity.