Take me to the text On August 31, 2020, EFG Corporation's shareholders' equity section shows the following balances. EFG Corporation Balance Sheet (partial) As at August 31, 2020 Shareholders' Equity Contributed Capital Common shares, unlimited shares authorized, 26,000 shares issued and outstanding $104,000 Retained Earnings Total Shareholders' Equity $900,000 $1,004,000 Do not enter dollar signs or commas in the input boxes. Scenario 1 On August 31, 2020, after preparing the shareholders' equity section shown above, the company declared and immediately distributed a 100% stock dividend. The market price on the date of declaration was $12. The company recorded the stock dividends by debiting retained earnings. a) Calculate the ending balance of retained earnings after the stock dividend. EFG Corporation Calculation of Retained Earnings For the Month Ended August 31, 2020 Opening Balance Less: Stock Dividend 900000 312000 Balance-August 31, 2020 588000 b) Prepare the shareholders' equity section of balance sheet as at August 31, 2020 (after the stock dividend has been distributed). Shareholders' Equity Contributed Capital EFG Corporation Balance Sheet (partial) As at August 31, 2020 Common shares, unlimited shares authorized, 52,000 shares issued and outstanding Retained Earnings Total Shareholders' Equity 588000 Scenario 2 On August 31, 2020, after preparing the shareholders' equity section shown at the beginning of this question (excluding Scenario 1), the company implemented a 2-for-1 stock split. For this scenario, assume that the stock dividend in scenario 1 did not happen; consider only the original balance sheet. a) Calculate the number of outstanding shares. Outstanding shares: shares b) Prepare the shareholders' equity section of the balance sheet as at August 31, 2020 (after the stock split). EFG Corporation Balance Sheet (partial) As at August 31, 2020 Shareholders' Equity Contributed Capital Common shares, unlimited shares authorized, x shares issued and outstanding Retained Earnings Total Shareholders' Equity