Diamond Garde, Inc. has 90,000 shares of $1.50 cumulative preferred shares outstanding in addition to its common shares Assume that in 2020, Diamond Garde declares an annual dividend of $1.001 000 The allocation to preferred and commo shareholders is as follows: (Click the icon to view the data.) Answer these questions about Diamond's cash dividends: Requirements Requirement 1. How much in dividends must Diamond declare each year before the common shareholders receive any cash dividends for the year? Diamond Garde must declare dividends of each year before the common shareholders receive any cash dividends for the year Requirement 2. Suppose Diamond declares cash dividends of $200,000 for 2020. How much of the dividends go to preferred? How much go to common? Class of shares 2020 Dividends Preferred Common Total Requirement 3. Are Diamond's preferred shares cumulative or non-cumulative? How can you tell? unless they are stated as because preferred shares are Diamond Garde's preferred shares are Requirement 4. Diamond passed the preferred dividend in 2018 and 2019. Then in 2020, Diamond declares cash dividends of $1,100,000. How much of the dividends go to preferred? How much go to common? Class of Shares 2020 Dividends Preferred Common Time Remaining: 00:52:59 1 Total SENG 201 Data table Preferred dividend (90,000 shares x $1.50 per.share)......... $ ) 135,000 Common dividend (remainder: $1,001,000 $135,000) 866.000 $ Total dividend 1,001,000 Print Done