On January 1, 2016 Gucci Brothers Inc

Multiple Choice

On January 1, 2016 Gucci Brothers Inc. had a $500,000 credit balance in retained earnings and $600,000 balance in common stock. During 2016, the company earned net income of $100,000, declared a dividend of $15,000, and issued additional stock for $25,000. What is total stockholders' equity on December 31, 2016?

A) $1,100,000.
B) $1,210,000.
C) $1,225,000.
D) $1,240,000.