For the year ended December 31,2011,Harvest Productions Inc.earned $4,000,000.Outstanding preferred shares included $400,000 in 3% cumulative preferred shares issued on January 1,2010 and $500,000 in 2% non-cumulative preferred shares issued on January 1,2011.Dividends on the cumulative preferred shares were not declared in 2010.
a.On December 15,2011,Harvest declared and paid $24,000 in dividends on the 3% cumulative shares including the arrears.Harvest also declared and paid the $10,000 dividends on the non-cumulative shares.
b.Harvest did not declare any dividends during 2011.
c.On December 15,2011,Harvest declared $10,000 in dividends on the non-cumulative preferred shares,payable on January 15,2012.Dividends on the cumulative preferred shares are neither declared nor paid.
Requirement:
Determine the net income available to ordinary shareholders for the year ended December 31,2011.

Question

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The Answer of For the year ended December 31,2011,Harvest Productions Inc.earned $4,000,000.Outstanding preferred shares included $400,000 in 3% cumulative preferred shares issued on January 1,2010 and $500,000 in 2% non-cumulative preferred shares issued on January 1,2011.Dividends on the cumulative preferred shares were not declared in 2010.
a.On December 15,2011,Harvest declared and paid $24,000 in dividends on the 3% cumulative shares including the arrears.Harvest also declared and paid the $10,000 dividends on the non-cumulative shares.
b.Harvest did not declare any dividends during 2011.
c.On December 15,2011,Harvest declared $10,000 in dividends on the non-cumulative preferred shares,payable on January 15,2012.Dividends on the cumulative preferred shares are neither declared nor paid.
Requirement:
Determine the net income available to ordinary shareholders for the year ended December 31,2011.

For the Year Ended December 31,2011,Harvest Productions Inc