On January 1, 2018, Arwing Inc. declared a 10% stock dividend on its common shares when the market value of the common shares was $20 per share. Shareholders' equity before the stock dividend was declared consisted of: Common shares, authorized 200,000 shares, issued 120,000 shares Retained eamings Total shareholders' equity S1,350,000 700,000 2.050,00 What was the effect on Arwing's retained earnings as a result of the above transaction? $400,000 decrease $200,000 decrease O $120,000 decrease O$240,000 decrease