Redfox Pest Control Service Had Revenues of $425,000 and Expenses

Multiple Choice

Redfox Pest Control Service had revenues of $425,000 and expenses of $338,000 for the current year, ended June 30. At the beginning of the year, the common stock was $110,000 and the retained earnings was $70,000. During the year, shareholders purchased an additional $25,000 in stock. Dividends of $16,750 were paid. What is the balance of stockholders' equity at the end of the year?

A) $292,000
B) $267,250
C) $205,250
D) $275,250