#3. D&D Corporation is authorized to sell 50,000 shares of $10 par, 6% cumulative preferred stock and 100,000 shares of $6 par common stock. There are 40,000 shares of preferred stock outstanding and 30,000 shares of common stock outstanding. A $40,000 cash dividend has been declared by the board of directors. No dividends in arrears exist. What is the total amount to be given to the preferred shareholders?

$40,000

$20,000 $18,000 $24,000

Refer to Part A. What is the common stock dividend per share amount (rounded)?

$0.733

$0.533

$0.678

$1.333