Trio Inc. reported retained earnings of $490,953 on December 31, 2017. During the year, Trio recorded net income of $135,075 and paid dividends of $57,762 . The company had no other transactions that affected retained earnings. What must retained earnings have been on December 31, 2016?

Select one:

a. $413,640

b. $568,266

c. $57,762

d. $548,715

e. None of these are correct.

Teton, Inc., reported a net gain of $45,540 on its foreign assets due to the weakening of the U.S. dollar during the year. In the same year, the company disclosed gains of $1,054,680 on its derivatives and hedges and a $124,080 unrealized gains on its trading securities. The company also reported a $611,820 loss on the sale of some equipment. Which of the following best describes the impact of these transactions on Teton, Inc.s accounts?

Select one:

a. $1,100,220 increase to accumulated other comprehensive income.

b. $1,224,300 increase to net income.

c. $1,100,220 increase to net income.

d. $169,620 increase to accumulated other comprehensive income.

e. None of these are correct.