Problem - Presented below is the shareholder equity of Deems Co. at Jan. 1, 2012:

Preferred stock, $100 par, 5% 420,000

Common stock, $2 par 500,000

Additional paid in capital, common 1,800,000

Retained earnings 854,000

Other comprehensive income (23,000)

Treasury stock, 1,000 shares at cost (16,000)

Total $3,535,000

During 2012, Deems recorded the following:

2/5/2012 Declared a property dividend. The asset had a book value of $211,000 and a fair value of $243,000. Take the gain to retained earnings.

9/6/2012 Declared and distributed a 3% stock dividend on common. The market price of the stock was $19.

11/8/2012 Sold available-for-sale securities with an unrealized loss of $5,400 for $65,900. There was a realized gain of $1,200 on the sale (take to retained earnings).

12/1/2012 Resold the treasury stock for $14 per share.

12/31/2012 Declared preferred dividends for the year.

12/31/2012 Net income for the year (excluding the above items) was $101,700.

REQUIRED: Determine the ending balances in the shareholder equity accounts.