omework Problems omework Problems Required information The f

omework Problems omework Problems Required information The folowing information applies to the questions displayed below York\'s outstanding stock consists of 80,000 shares of noncumulative 75% preferred stock with a SS par value and also 200,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends al cas sh dividends 2016 total cash dividends 2017 total eaa dividends 2019 total eash dividends 20,000 28,000 200,000 350,000 Determine the amount of dividends paid each year to each of the two classes of stock cumulative Share\" answers to 3 decimal places.) holders assuming that the preferred stock is Also determine the total dividends paid to each class for the four years combined. (Round your \"Dividend per Preferred Par Value per perN Total Cash Arrears at Dividend Paid $20.000 200.000 598.000 Preferred Common MacBook Air 0 FS 2

Solution

Determine amount paid to shareholders : If preferred dividend cumulative

	Par value per preferred shares	Dividend rate	Dividend per preferred shares	Number of preferred shares	Preferred dividend
Annual Preferred dividend	5	7.5%	0.375	80000	30000
	Total cash dividend paid	Paid to preferred	Paid to common	Dividend in arrears at year end
2015	20000	20000		10000
2016	28000	28000		12000
2017	200000	42000	158000
2018	350000	30000	320000
Total	598000	120000	478000