York\'s outstanding stock consists of 60,000 shares of cumulative 6.00% preferre

Question

York's outstanding stock consists of 60,000 shares of cumulative 6.00% preferred stock with a $10 par value and also 150,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation déclared and paid the following total cash dividends. 2015 $ 29,000 2016 30,375 201773,500 2018111,000 Determine the amount of dividends paid each year to each of the two classes of stockholders assuming that the preferred stock is cumulative. Also determine the total dividends paid to each class for the four years combined (Round your "Dividend per Preferred Share" answers to 2 decimal places.) Dividend per Number of Preferred Shares Par Value per Preferred Dividend Rate Preferred Share Preferred Dividend Share Annual Preferred Dividend: Dividends in Arrears at year-end Total Cash Dividend PaidPreferred Paid to Paid to 2015 2016 2017 2018 Total 29,000 30,375 73,500 111,000 $ 243,875

Explanation / Answer

Dividend distribution:

Par value per preferred share Dividend rate Dividend per preferred share Number of preferred shares Preferred dividend Annual preferred dividend 10 6% 0.6 60000 36000 Total cash dividend paid Paid to preferred Paid to common Dividends in arrears at year end 2015 29000 29000 7000 2016 30375 30375 12625 2017 73500 48625 24875 2018 111000 36000 75000 Total 243875 144000 99875

Related Questions

Navigate

• Browse (All)
• Browse Y
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.