Assume that VOF has 250,000 common shares of no par value outstanding with contributed capital of $750,000 and 50,000 preferred shares of no par value of $0.40 issued at $5 each. Declared and paid a current year cash dividend of $125,000. Dividends were declared every year except the two years preceding the current year. Assume for this question only that the preferred stock was non-cumulative and non-participating.

How much will each group of shareholders receive?

Continue with the same information given in above. However, now assume that for this question only the preferred shares were non-cumulative and fully participating.

How much will each group of shareholders receive?