Zwick Company bought 28,000 shares of the voting common stock of Handy Corporation in January 2013. In December, Hart announced $200,000 net income for 2013 and declared and paid a cash dividend of $2 per share on the 200,000 shares of outstanding common stock. Zwick Company's dividend revenue from Handy Corporation in December 2013 would bea.$ 0.
b.$27,792.
c.$112,000.
d. None of the above is correct.

The correct answer is option (d).

Explanation:

According to the scenario, the given data are as follows:

Zwick bought stock = 28,000

Dividend paid = $2

So, we can calculate the Zwick company's dividend revenue by using following formula:

Zwick Company's dividend revenue = Zwick bought stock × Dividend paid

= 28,000 × $2

= $56,000

Hence, None of the above is correct answer for the scenario.

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