The shareholders' equity of Absolut Corporation includes $200,000 of $1 par common stock and $400,000 of 6% cumulative preferred stock. The preferred stock was issued at par. The board of directors of Absolut declared cash dividends of $50,000 in 2017 after paying $20,000 cash dividends in 2016 and $40,000 in 2015. What is the amount of dividends common shareholders will receive in 2017?
- A) $18,000.
- B) $22,000.
- C) $26,000.
- D) $28,000.
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