Use the following information to calculate the "net income available to ordinary shareholders":

Question

Quizplus · Accepted Answer

The net income available to ordinary shareholders is calculated by subtracting the preferred dividends from the net income. In this case, the preferred dividends are $40,000, which is subtracted from the net income of $1,000,000 to get a net income available to ordinary shareholders of $960,000. Therefore, the correct answer is D.

Use the Following Information to Calculate the "Net Income Available