At December 31, 2019, the balance of Glasgow Ltd.’s retained earnings account was $450,000. During 2020, the company had the following transactions:

	Acquired 5,000 treasury shares at $75 per share. The shares are no par value and had
	originally been issued for $65 per share. There had been no previous treasury share transactions.
	Net income for 2020 was $400,000.
	Sold the 5,000 treasury shares at $80 per share.

What is the balance in retained earnings at December 31, 2020?

$850,000

$775,000

$762,500

$900,000