Tandy Co. Ltd was set up with a share capital of $2 000 000. In year 1 a loss of $400 000 was recorded. In year 2 Tandy recorded a profit of $70 000 and in year 3 a profit of $550 000. Also in year 3 a dividend of 2% of paid-up capital was paid to shareholders and $50 000 was transferred from retained earnings to a general reserve. The shareholders' equity of Tandy Co. Ltd at the end of year 3 was