Business & Finance (Free Sample)
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Jones is the president of and a stockholder in a construction company that is a closed corporation. Jones owns 280,000 shares of the total 1,000,000 outstanding shares of stock of the corporation. There is only one type of stock issued. The contracting company had a net profit available for distribution of $65,000 for the fiscal year ending December 31, 2017. The net assets of the corporation as of December 31, 2017, amounted to $375,000. What is the maximum dividend that Jones can expect to receive from the business for his ownership interest in the corporation for the fiscal year ending December 31, 2017?
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