Donald's Inc. would like to declare dividends by distributing inventory. Partial financial information for Donald's Inc. is below.
Cash balance $ 52,000
Inventory $ 20,000
Retained Earnings $ 10,000
Accounts Receivable $ 7,500
Dividends receivable $ 1,200
Shareholder's equity $ 129,000
What is the maximum property dividend that Donald's Inc. can declare given the above financial information?
Multiple Choice
a. $20,000
b. $1,200
c. $52,000
d. $129,000
e. None of the other alternatives are correct