Ned Company Reported the Following Information for Its Fiscal Year

question 57

Multiple Choice

Ned Company reported the following information for its fiscal year: $$\begin{array} { | l | r | } \hline \text { Net income } & \$ 500,000 \\\hline \text { Preferred dividends } & 30,000 \\\hline\text { Common share dividends }&\text { 20,000 }\\\hline \text { Preferred shares are cumulative and carry an annual dividend of } & 10,000 \\\hline\end{array}$$ The preferred dividends listed above include the current year and prior accumulated dividends.What is the amount of net income available to common shareholders?

• A)$440,000
• B)$450,000
• C)$470,000
• D)$490,000

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Definitions:

Magnesium Monoperoxyphthalate

A chemical compound used as an oxidizing agent, particularly in organic synthesis and bleaching processes.

Epoxidation

A chemical reaction that converts an alkene into an epoxide, involving the addition of an oxygen atom across the carbon-carbon double bond.

Major Organic Product

The primary product formed in greater amount in an organic reaction, considering reaction mechanisms and conditions.

Cyclopentanone

A cyclic ketone with a five-membered ring, known for its distinctive odor and use in organic synthesis.