The shareholders' equity section of the balance sheet of The Claremont Company appeared as follows at the end of the first year of operations:
Common stock, $0.08 par value $480,000
Additional paid-in-capital 71,520,000
Retained earnings 25,600,000
Treasury stock (6,000,000)
Shareholders' equity $91,600,000
During the second year of operations, the following transactions occurred:
1. Generated net income of $4.8 million.
2. Paid a cash dividend of $1.2 million.
3. Purchased 100,000 shares of common stock at $7.6 per share.
4. Executed a 1-for-2 reverse stock split.
Prepare the shareholders' equity section of the balance sheet of Claremont Company at the end of the second year of operations.