Donald's Inc. would like to declare a cash dividend. Partial financial information for Donald's Inc. is below.

Cash balance	$	52,000
Dividends payable	$	19,200
Retained Earnings	$	27,500
Common Shares	$	50,000
Shareholder's equity	$	77,500

What is the maximum cash dividend that Donald's Inc. can declare and pay given the above financial information?

Multiple Choice

• None of the other alternatives are correct

• $50,000

• $77,500

• $52,000

• $58,300

Answer rating: 100% (QA)

Solution Given Donalds Inc would like to declare a cash dividend Partial ... View the full answer