As of December 31, 2018, Warner Corporation reported the following:

Dividends payable: $27,000

Treasury stock: 670,000

Paid in Capital - share repurchase: 27,000

Other paid in capital accounts: 4,700,000

Retained earnings: 3,700,000

During 2019, half of the treasury stock was re-sold for $230,000, net income was $670,000, cash dividends declared were $1,430,000, and stock dividends declared were $570,000.

What was shareholders equity as of December 31, 2018?

A. $7,757,000

B. $7,730,000

C. $8,427,000

D. $7,784,000