Question
Cash Dividends Kerry Company has 1,000 shares of $100 par value, 10% preferred stock and 9,800 shares of $10 par value common stock outstanding. The
Cash Dividends Kerry Company has 1,000 shares of $100 par value, 10% preferred stock and 9,800 shares of $10 par value common stock outstanding. The preferred stock is cumulative and nonparticipating. Dividends were paid in 2012. Since 2012, Kerry has declared and paid dividends as follows: 2013 $ 0 2014 11,300 2015 22,800 2016 27,200 Required: 1. Determine the amount of the dividends to be allocated to preferred and common stockholders for each year 2014 to 2016. If an amount is zero, enter "0". Year Preferred Dividends Common Dividends 2014 $ $ 2015 $ $ 2016 $ $ 2. If the preferred stock had been noncumulative, how much would have been allocated to the preferred and common stockholders each year? Year Preferred Dividends Common Dividends 2014 $ $ 2015 $ $ 2016 $ $.
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