2. ABC Corporation had the following Shareholders Equity on July 31, 2023: Shareholders' Equity Share Capital $10 Preferred shares, cumulative 10,000 shares authorized, 5,000 shares issued $ 2,000,000 Common shares, 600,000 shares authorized, 10,000 shares issued 300,000 Total Share Capital $ 2,300,000 Retained Earnings 500,000 Total Shareholders Equity $ 2,800,000

Assume that during the following fiscal year the company had a profit of $ 65,000 and declared

and paid cash dividends of $ 15,000. The ending balance of Retained Earnings on July 31, 2024

would be:

A. $ 500,000

B. $ 550,000

C. $ 565,000

D. Cannot be determined from the information provided.