Which of the following best describes shareholders' equity?

Equity is the sum of shareholders' capital provided by shareholders and retained earnings.

Equity is the difference between the company's assets and retained earnings.

NOW Inc. released its annual results and financial statements. Grace is reading the summary in the business pages of today's paper. In its annual report this year, NOW Inc. reported a net income of $$192$ million. Last year, the company reported a retained earnings balance of $$442$ million, whereas this year it increased to $$520$ million. How much was paid out in dividends this year?

$$270$ million

$$575$ million

$$3$ million