7) The stockholders' equity section of a company's balance sheet at the beginning of a year is given below: Common stock, $10 par value..... Additional paid-in-capital Retained earnings ... $ 5,000 3,500 4,200 12,700 (600) $ 12,100 Treasury stock (20 shares @ $30 per share)...... Total stockholders' equity During the year the following events affected stockholders' equity accounts in the order in which presented below: 1. Cash dividends amounting to $2 per share were declared and paid to outstanding shares (i.e., the 20 shares of treasury stock do not participate in cash dividends). 2. The 20 shares of treasury stock were sold for $800 (or $40 per share). 3. A 5% stock dividend was declared and distributed with a reported value of $1,050 (or $42 per share). 4. An additional 60 shares of $10 par value common stock was issued for $45 per share. 5. Reported net income for the year was $3,700. The balance of stockholders' equity at the end of the year (after all of the above events have been recorded) amounts to: A) $18,000 B) $18,140 C) $18,300 D) $18,340 E) $19,390