In 2017, Horseshoe Valley Co

In 2017, Horseshoe Valley Co. reported net income of $75,000 and declared a dividend of $40,000. The dividend is to be paid on February 1, 2018 to shareholders of record on January 15, 2018. The balance in the retained earnings account on January 1, 2017 was $140,000. At Horseshoe's year end on December 31, 2017 the company reported the following ending balance on the statement of changes in shareholders' equity:

A) $35,000.
B) $115,000.
C) $175,000.
D) $215,000.