The Ferris Corporation has 2,000 shares of $100, 8 percent cumulative preferred stock outstanding and 40,000 shares of $1 par value common stock outstanding. In the company’s first three years of operation, its board of directors paid cash dividends as follows: 20x6, none; 20x7,

$40,000; and 20x8, $80,000. Determine the total cash dividends and dividends per share paid to the preferred and common stockholders during each of the three years.

Issuance of Stock