Simmons Corporation Reports the Following Information: Correction of Understatement of Depreciation

Multiple Choice

Simmons Corporation reports the following information: Correction of understatement of depreciation expense $\begin{array}{lr}\text { in prior years, net of tax } & 430,000 \\\text { Dividends declared } & 320,000 \\\text { Net income } & 1,000,000 \\\text { Retained earnings, 1/1/07, as reported } & 2,000,000\end{array}$ Simmons should report retained earnings, 1/1/07, as adjusted at

A) $1,570,000.
B) $2,000,000.
C) $2,430,000.
D) $3,110,000.