An investor spends $23,000 for shares of another company late in Year One. The shares are worth $24,000 at the end of that year. Early in Year Two, a $1,200 dividend is received from this investment. Shortly thereafter, the shares are sold for $26,000. If this asset is an investment in trading securities, what is the impact on net income in Year Two?

a) Increase by $1,200.

b) Increase by $2,000.

c) Increase by $3,200.

d) Increase by $4,200.