CN Is North America's Fifth Largest Railroad *The Tax Rate Is a Percentage of Earnings Before Tax

CN is North America's fifth largest railroad. CN 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
CN Railway Company ($000'000s)
$$\begin{array} { | c | c | c | c | } \hline & \text { Year 2 } & \begin{array} { c } \text { Ratios } \\\text { (to sales) }\end{array} & \begin{array} { c } \text { Forecast } \\\text { Year 3 }\end{array} \\\hline \text { Revenue } & \$ 6,110 & & \$ 6,721 \\\hline \text { COGS } & 2,550 & 0.417349 & \\\hline \text { Dep. Exp. } & 499 & & 555 \\\hline \text { Other Expenses } & 1,945 & 0.318331 & \\\hline \text { EBIT } & 1,116 & & \\\hline \text { Int. Exp. } & 277 & & 259 \\\hline \text { EBT } & 839 & & \\\hline \text { Provision for Income } & & & \\ \text { Taxes } & 268 & 0.31943 ^ { * } & \\\hline \text { Net Income } & \$ 571 & & \\\hline \text { Retained Earnings } & \$ 2,762 & & \\\hline \text { Owner's Equity } & \$ 6,627 & & \\\hline\end{array}$$ *The tax rate is a percentage of Earnings Before Tax.

A) $2,762
B) $3,128
C) $3,293
D) $3,417
E) $3,630