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Financial Statements for Orange Company Appear Below Total Dividends During Year 2 Were

question 100

Multiple Choice

Financial statements for Orange Company appear below:
$Financial statements for Orange Company appear below: \begin{array}{|l|r|} \hline&\text { Orange Company } \\ &\text { Income Statement } \\ &\text { For the Year Ended December 31, Year } \\ &2\\ &\text { (dollars in thousands) }\\ \hline \text { Sales (All on Account) } & \$ 2830 \\ \hline \text { Costs of Goods Sold } & \$ 1980 \\ \hline \text { Gross Margin } & \$ 850 \\ \hline \text { Operating Expenses } & \$ 340 \\ \hline \text { Net Operating Income } & \$ 510 \\ \hline \text { Interest Expense } & \$ 30 \\ \hline \text { Net Income before Taxes } & \$ 480 \\ \hline \text { Income Taxes (30\%) } & \$ 144 \\ \hline \text { Net Income } & \$ 336\\ \hline \end{array} Total dividends during Year 2 were \$ 156,000 , of which \$ 18,000 were preferred dividends. The market price of a share of common stock on December 31, Year 2 was \$ 100 . -Orange Company's average sale period (turnover in days) for Year 2 was closest to which of the following? A) 20.6 days. B) 23.2 days. C) 29.5 days. D) 33.2 days.$
$\begin{array}{|l|r|}\hline&\text { Orange Company } \\&\text { Income Statement } \\&\text { For the Year Ended December 31, Year } \\&2\\&\text { (dollars in thousands) }\\\hline \text { Sales (All on Account) } & \$ 2830 \\\hline \text { Costs of Goods Sold } & \$ 1980 \\\hline \text { Gross Margin } & \$ 850 \\\hline \text { Operating Expenses } & \$ 340 \\\hline \text { Net Operating Income } & \$ 510 \\\hline \text { Interest Expense } & \$ 30 \\\hline \text { Net Income before Taxes } & \$ 480 \\\hline \text { Income Taxes (30\%) } & \$ 144 \\\hline \text { Net Income } & \$ 336\\\hline\end{array}$

Total dividends during Year 2 were $\$ 156,000$ , of which $\$ 18,000$ were preferred dividends. The market price of a share of common stock on December 31, Year 2 was $\$ 100$ .
-Orange Company's average sale period (turnover in days) for Year 2 was closest to which of the following?

Definitions:

Internal Environment

The conditions and processes occurring within an organism, keeping it stable despite external changes, also known as homeostasis.

Somatic Portion

Refers to the part of an organism's body that is not involved in reproduction, including cells that make up tissues, organs, and systems.

Peripheral Nervous

The portion of the nervous system lying outside the brain and spinal cord, which includes nerves branching off from the brainstem and spinal cord to the rest of the body.

Sensory Nerves

Nerves responsible for conveying sensory information from the body's periphery to the central nervous system, including touch, pain, temperature, and position sense.