Wholegrain Health Foods Inc. is authorized to issue 5,000,000 common shares. In its initial public offering during 2016 , Wholegrain issued 500,000 common shares for \(\$ 7.00\) per share. Over the next year, Wholegrain's share price increased and the company issued 400,000 more shares at an average price of \(\$ 8.50\).

During the five years from 2016 through 2020, Wholegrain earned net income of \(\$ 920,000\) and declared and paid cash dividends of \(\$ 140,000\). A \(10 \%\) stock dividend was declared and distributed to the shareholders in 2020 on the shares outstanding. The market price was \(\$ 8.00\) per share when the stock dividend was distributed. At December 31, 2020, the company has total assets of \(\$ 14,500,000\) and total liabilities of \(\$ 6,820,000\).

{Requirement}

Show the computation of Wholegrain's total shareholders' equity at December 31, 2020. Present a detailed computation of each element of shareholders' equity.