Jaderong Plinkett Stores reported net income of $25 million. The company has no outstanding debt. Using the following information from the comparative balance sheets (in millions), what should the company report in the financing section of the statement of cash flows in 2010?

A. Issuance of common stock of $42 million; dividends paid of $10 million.
B. Issuance of common stock of $38 million; dividends paid of $10 million.
C. Issuance of common stock of $42 million; dividends paid of $40 million.

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Balance Sheet Item Common stock Additional paid-in capital common stock Retained earnings Total stockholders' equity 12/31/2009 $100 $100 $100 $300 12/31/2010 $102 $140 $115 $357 Change $2 $40 $15 $57