ACCOUNTING FOR DIVIDENDS
Required: Calculate the dividends paid and dividends per share on each class of stock. Solution #4 Preferred shareholders are entitled to receive $80,000 (20,000 shares * 4.00/share) per year in dividends. Year 1 Dividends per share are $0 for both preferred and common stock. Preferred Stock has $80,000 dividends in arrears. ................
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