Cummings Credit Company has outstanding 3,000 shares of \(\$ 100\) par value, \(11 \%\) preferred stock and 70,000 shares of \(\$ 10\) par value common stock. During a sevenyear period, the company paid out the following amounts in dividends: \(1987, \$-0-\); \(1988, \$ 50,000 ; 1989, \$-0-; 1990, \$ 55,000 ; 1991, \$ 67,000 ; 1992, \$ 70,000\); and \(1993, \$ 150,000\).

\section*{Required}

1. Prepare three schedules with columnar headings as follows:

2. Complete a schedule under each of the following assumptions. There were no dividends in arrears for the years prior to 1987. (Round your answers to the nearest penny.)

a. The preferred stock is noncumulative and nonparticipating.
\(b\). The preferred stock is cumulative and nonparticipating.
\(c\). The preferred stock is cumulative and fully participating.
\section*{Problem 12-8}
Calculation of book values (L.O. 6)

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Preferred Dividend Year Calculations per Share Common Dividend per Share