During Year 2, Millstone Company provided $6,500 of services for cash, paid cash dividends of $1,000 to owners, and paid $4,000 cash for expenses. Liabilities were unchanged. Which of the following statements accurately describes the effect of these events on the elements of the company's financial statements?

-Assets increased by $6,500.
-Assets increased by $1,500.
-Stockholders' equity increased by $2,500.
-Assets increased by $5,500.