Question: On December 1, 2013 Nilo Corp declared a property dividend to be distributed on December 31, 2013. On December 1, 2013, the property to be

On December 1, 2013 Nilo Corp declared a property to be distributed on December 31, 2013. On December 1, 2013, the property to be transferred had a carrying amount of $60,000 and a fair value of $78,000. What is the effect of this property on Nilo's retained earnings after all nominal accounts are closed?
A. $0
B. $18,000 increase
C. $60,000 decrease
D. $78,000 decrease

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