McDonald Enterprises Corporation had 28,000 common shares outstanding at the start of 2023. On
April 1, the company sold an additional 6,000 shares. On July 1, they retired 1,000 shares and on
September 1, the company's board declared a 4-for-1 stock split. Next income for 2023 was $648,550
and preferred shareholders received dividens of $129,000. McDonald Enterprises Corporation has a
December 31 year-end
REQUIRED
Calculate the Earnings Per Share for 2023. (6 marks)
The current fiscal year is 2024 and Olympia Enterprises Limited's preferred shareholders have not
received dividends for the past four years. In 2024, the Board declared a $162,240 cash dividend.
Other details, below:
Contributed Capital
Preferred Shares, $5, cumulative, 5,200 shares outstanding
Common shares, no-par value, unlimited shares authorized, 40,000 shares
issued
Total contributed capital
Retained Earnings
Total Equity
$ 205,000
205,000
410,000
459,000
$ 869,000
REQUIRED:
Calculate the dividends paid to both common and preferred shareholders and the dividend per
share for each. (6 marks)
