Ch 13 assignment #1
Dividends per share
Zero Calories Company has 20,000 shares of cumulative preferred 1% stock, $50 par and 200,000 shares of $10 par common stock. The following amounts were distributed as dividends:
20Y1
$30,000
20Y2
8,000
20Y3
110,000
Determine the dividends per share for preferred and common stock for each year. If an answer is zero, enter '0'. Round all answers to two decimal places.
Preferred Stock
Common Stock
(dividends per share)
(dividends per share)
20Y1
$ 1.50 X
$ 0 X
20Y2
$ 0.20 X
$ 0 ?
20Y3
$ 0.50 X
$ 0.45 X
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Determine what amount of current dividends that preferred stock should receive per year.
Keep in mind that the question is asking for a dividend per share for each year and class of stock, rather than the total amount to be distributed to each class of stock.