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On 3 1 December 2 0 X 5 , Watercress Properties Ltd . reported the following in shareholders equity: Preferred shares, no - par value;
On December X Watercress Properties Ltd reported the following in shareholders equity:
Preferred shares, nopar value; $ dividend, authorized, unlimited shares; issued, shares
$
Common shares, nopar value; authorized, unlimited shares; issued, shares
Retained earnings
Dividends of $ are declared in X Consider the following three cases:
Preferred Cumulative?
Year of Last Dividends
Preferred Participating?
CASE A
No
X
No
CASE B
Yes
X
No
CASE C
Yes
X
Yes, after common receive $ per share; participation based on relative dividends at base level
Required:
Calculate dividends to be paid to preferred and common shares in each case.
Preferred Dividend
Common Dividend
Total
CASE A
CASE B
CASE C
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