A Company Has Net Income of $170,000 and 40,000 Shares

question 51

Multiple Choice

A company has net income of $170,000 and 40,000 shares of stock outstanding. If the company paid a dividend of $1.32 per share, what was the addition to retained earnings?

• A) $125,400
• B) $52,800
• C) $122,600
• D) $117,200
• E) $112,800

---

Definitions:

Neutral Subject Line

A subject line in an email or message that is impartial or without bias, often used to avoid influencing the recipient's initial reaction.

Passive Voice

A grammatical construction in which the subject of a sentence is the recipient of an action rather than the performer of the action.

Electronic Mail Communication

The use of email for exchanging messages and information between people using electronic devices.

Instant Messaging

Instant messaging is a form of real-time communication through text or media messages sent over the internet between two or more devices or users.