Our company's 2019 beginning and ending balance sheets are below:

Jan-1 Balance Dec-31 Balance

Cash $140,000 $120,000

Accounts receivable 450,000 530,000

Inventory 320,000 380,000

Plant and equipment, net 680,000 620,000

Investment in OtherCo unaffiliated company 250,000 280,000

Land (undeveloped, held for resale) 180,000 170,000

Total assets $2,020,000 $2,100,000

Accounts payable $360,000 $310,000

Long-term debt 1,500,000 1,500,000

Stockholders' equity 160,000 290,000

Total liabilities and stockholders' equity $2,020,000 $2,100,000

In 2019: sales were $4,500,000; cost of goods sold equaled $3,000,000; selling and administrative expenses were $940,000; interest expense was $150,000; tax expense was $110,000; we paid $15,000 in total dividends.

Our cost of capital (hurdle rate, or minimum required return) is 5%.

Our 2019 residual income was closest to:

A. $329,000

B. $479,000

C. $680,000

D. $779,000

E. $959,000