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Question - Wildhorse Corporation has outstanding at December 31, 2020, 45,000 shares of $18 par value, cumulative, 9% preferred stock and 197,500 shares of $6 par value common stock. All shares were outstanding the entire year. During 2020, Wildhorse earned total revenues of $2,040,000 and incurred total expenses (except income taxes) of $1,200,000. Wildhorse's income tax rate is 31%.
Required -
Calculate the Wildhorse's 2020 net income.
Calculate the Wildhorse's 2020 preferred dividends.
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as useful as financial statements are they have their limitations. of course we should be aware of such limitations
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