Perlman Company Had 100,000 Common Shares and 20,000 Preferred Shares

question 111

Multiple Choice

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

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

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Definitions:

Regression Equation

A mathematical formula used to predict a variable based on the relationship between that variable and one or more other variables.

Independent Variables

Variables in an experiment that are manipulated or varied by the researcher to test their effect on dependent variables.

Target Population

The entire group of individuals or instances about which researchers aim to make conclusions in a study.

Participant Pool

A group of individuals from which research participants are recruited, representing a larger population of interest.