Answer the following questions about Fast Start Corp's dividends. (Click the icon to view the shareholders' equity of the corporation.) Required 1. How much in dividends must Fast Start declare each year before the common shareholders receive cash dividends for the year? 2. Suppose Fast Start declares cash dividends of $25,000 for 2020. How much of the dividends go to preferred shareholders? How much goes to common shareholders? 3. Are Fast Start's preferred shares cumulative or noncumulative? How can you tell? 4. Suppose Fast Start did not pay the preferred dividend in 2018 and 2019. In 2020, Fast Start declares cash dividends of $42,000. How much of the dividends go to preferred shareholders? How much goes to common shareholders? Requirement 1. How much in dividends must Fast Start declare each year before the common shareholders receive cash dividends for the year? x The amount of dividends Fast Start must declare each year before the common shareholders receive cash dividends for the year is $ Requirement 2. Suppose Fast Start declares cash dividends of $25,000 for 2020. How much of the dividends go to preferred shareholders? How much goes to common shareholders? Shareholders' equity Preferred shareholders receive $ Common shareholders receive $ Requirement 3. Are Fast Start's preferred shares cumulative or noncumulative? How can you tell? Fast Start Corp.'s preferred shares are because they are v designated as Requirement 4. Suppose Fast Start did not pay the preferred dividend in 2018 and 2019. In 2020, Fast Start declares cash dividends of $42,000. How much of the dividends go to preferred shareholders? How much goes to common shareholders? Fast Start Corp. Balance Sheet (Partial) December 31, 2020 Shareholders' Equity Contributed capital Preferred shares, $5.00, 10,000 shares authorized, 1,000 shares issued and outstanding Common shares, 100,000 shares authorized, 30,000 shares issued and outstanding Total contributed capital Preferred gets $ Common gets $ 92,000 143.000 235,000 663,000 Retained earnings $ 898,000 Total shareholders' equity Print Done