A Company Has 3,000 Shares of $2 Par Value Common

Multiple Choice

A company has 3,000 shares of $2 par value common stock and 1,500 shares of 8%,$150 par,noncumulative preferred stock outstanding.The balance in Retained Earnings at the beginning of the year was $400,000.The net loss for the current year was $30,000.If the company paid a dividend of $1 per share on its common stock,what is the balance in Retained Earnings at the end of the year?

A) $349,000
B) $365,800
C) $451,000
D) $400,000
E) $409,000