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David's had a retained earnings balance at the end last year of $220,000. The firm had $63,000 in earnings this year and $120,000 in capital

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David's had a retained earnings balance at the end last year of $220,000. The firm had $63,000 in earnings this year and $120,000 in capital spending. David's maintains a debt-equity ratio of 2.2 and strictly adheres to a residual dividend policy. What is the retained earnings balance at the end of this year? Multiple Choice $245,500 $274,545 C O $223,000 $257,500 Do E EO $248,636

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