Perlman Company Had 100,000 Shares of Common Stock and 20,000

question 135

Multiple Choice

Perlman Company had 100,000 shares of common stock and 20,000 shares of preferred stock at the end of the year just completed.Preferred shareholders received dividends totalling $140,000.Common shareholders received dividends totalling $210,000.If the dividend payout ratio for the year was 70%,then the net income for the year was:

• A) $147,000.
• B) $287,000.
• C) $300,000.
• D) $440,000.

Understand how fixed and variable costs contribute to total costs and how this affects business decisions.

Identify when economies of scale or diseconomies of scale are occurring within a production process.

Understand the concepts of fixed, variable, and total costs in production.

Analyze the relationship between output and costs using average and marginal measures.

---

Definitions:

Principle Of Belongness

An aspect of learning theory suggesting that items or ideas that are perceived as belonging together are more easily remembered.

Wing Flapping

The movement of an animal's wings up and down, typically seen in birds as part of flight or communication behaviors.

Defense Reaction

A psychological or physiological response to a perceived threat, aimed at safeguarding an individual.

Aggressive Behaviors

Actions or attitudes that are hostile, destructive, or violent towards others or oneself.