Stock Question- Help Please?!?

Question

Coastal Fisheries, Inc. reported the following results for the year ending December 31, 2007:

Retained earnings, December 1, 2007 $988,500

Net Income 325,000

Cash dividends declared 35,000

Stock dividends declared 90,000

Retained earnings as of December 31, 2007 is:

A. $1,032,500

B. $1,278,500

C. $1,541,500

D. $1,188,500

Answer 1

C