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Salashar,Inc.'s Balance Sheet Is as Follows

Question 86

Multiple Choice

Salashar,Inc.'s balance sheet is as follows:
Salashar,Inc.'s balance sheet is as follows: Salashar decides to pay a dividend.Which of the following statements is MOST correct? A) The dividend cannot exceed $1,000,000, the amount of cash available. B) The dividend cannot exceed $1,700,000, the amount of net working capital. C) The dividend cannot exceed $600,000, the amount of retained earnings. D) The dividend cannot exceed $11,000,000, the amount of total assets.
Salashar decides to pay a dividend.Which of the following statements is MOST correct?


A) The dividend cannot exceed $1,000,000, the amount of cash available.
B) The dividend cannot exceed $1,700,000, the amount of net working capital.
C) The dividend cannot exceed $600,000, the amount of retained earnings.
D) The dividend cannot exceed $11,000,000, the amount of total assets.

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