Lexington Company Engaged in the Following Transactions During Year 1

Multiple Choice

Lexington Company engaged in the following transactions during Year 1, its first year of operations. (Assume all transactions are cash transactions.) 1) Acquired $3,600 cash from issuing common stock.2) Borrowed $2,500 from a bank.3) Earned $3,400 of revenues.4) Incurred $2,460 in expenses.5) Paid dividends of $460.Lexington Company engaged in the following transactions during Year 2:1) Acquired an additional $800 cash from the issue of common stock.2) Repaid $1,510 of its debt to the bank.3) Earned revenues, $4,800.4) Incurred expenses of $2,870.5) Paid dividends of $1,000. The amount of total assets on Lexington's balance sheet at the end of Year 1 was:

A) $1,100.
B) $6,840.
C) $6,580.
D) $3,860.