Dividends on Preference and Ordinary Shares

Andam Corporation has outstanding 60,000 shares of 5% preference shares with P50 par value and 300,000 shares of P30 par ordinary shares. During the current year, the company declared and paid a total cash dividends of P900,000.

Required: For each of the following independent cases, compute the total dividends to be received by each class of share.

1. The preference share is non-cumulative and non-participating.

ORDINARY ___________________________ PREFERENCE _________________________

2. The preference share is cumulative and non-participating with one-year dividends in arrears.

ORDINARY ___________________________ PREFERENCE _________________________

3. The preference share in non-cumulative and participating.

ORDINARY ___________________________ PREFERENCE _________________________

4. The preference share is cumulative and participating with no dividends in arrears.

ORDINARY ___________________________ PREFERENCE _________________________

5. The preference share is cumulative and participating with three years dividends in arrears.

ORDINARY ___________________________ PREFERENCE _________________________