Blockbuster Is a Video Rental and Retail Chain *Tax Rate Is a Proportion of Earnings Before Taxes

Blockbuster is a video rental and retail chain. Blockbuster is forecasting its financial statements for Year 3. Selected financial information for Year 2 is provided in the table. What is Retained Earnings for Year 3? Selected Financial Information
Blockbuster Inc. ($ '000)
$$\begin{array} { | c | c | c | c | } \hline & \text { Year 2 } & \begin{array} { c } \text { Ratios } \\\text { (to Sales) }\end{array} & \begin{array} { c } \text { Forecast } \\\text { Year 3 }\end{array} \\\hline \text { Revenue } & \$ 5,157,600 & & \$ 5,673,360 \\\hline \text { COGS } & 2,420,700 & 0.469346 & \\\hline \text { SG\&A } & 2,532,400 & 0.491004 & \\\hline \text { R\&D } & 176,100 & 0.034144 & \\\hline \text { Dep. Exp. } & 246,600 & & 300,000 \\\hline \text { EBIT } & - 218,200 & & \\\hline \text { Int. Exp. } & 78,200 & & 78,000 \\\hline \text { EBT } & - 296,400 & & \\\hline \text { Provision for Income } & & & \\\hline \text { Taxes } & - 56,100 & 0.19 * & \\\hline \text { Net Income } & \$ - 240,300 & & \\\hline \text { Dividends } & & & \$0\\\hline \text { Retained Earnings } & \$ - 327,100 & & \\\hline \text { Owner's Equity } & \$ - 427,100 & & \\\hline\end{array}$$ *Tax rate is a proportion of Earnings before Taxes.

A) $-46,224
B) $-47,279
C) $-329,300
D) $-607,976
E) $-707,976