6

RAT Energy Corp. reported $460 million of net fixed assets on its 20Y1 balance sheet. If Ronstadt reports $38.5 million of depreciation expense on its 20Y2 income statement, and its capital spending for 20Y2 was $46.2 million, what amount of net fixed assets will Ronstadt report on its 20Y2 balance sheet?

Select one:

a. $421.5 million

b. $460.0 million

c. $467.7 million

d. $506.2 million