Dividends on Preferred and Common Stock

Pecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre has declared the following annual dividends over a six$-$year period: $20Y1,$$$40,000$;$20Y2,$$$80,000$;

$20Y3,$$$180,000$;$20Y4,$$$220,000$;$20Y5,$$$280,000$; and $20Y6,$$$360,000.$ During the entire period ended December $31$ of each year, the outstanding stock of the company was compos

shares of cumulative, preferred $4\%$ stock, $$100$ par, and $100,000$ shares of common stock, $$25$ par.

Required:

Determine the total dividends and the per$-$share dividends declared on each class of stock for each of the six years. There were no dividends in arrears at the beginning of $20Y1.$ Summarize the data

in tabular form. If required, round your per share answers to two decimal places. If the amount is zero, please enter $"0".$

Determine the average annual dividend per share for each class of stock for the six$-$year period. If required, round your answers to two decimal places.

Average annual dividend for preferred

$

per share

Average annual dividend for common

$

per share

Assuming a market price per share of $$244$ for the preferred stock and $$30$ for the common stock, determine the average annual percentage return on initial shareholders investment, based on the

average annual dividend per share $($a$)$ for preferred stock and $($b$)$ for common stock.

Round your answers to two decimal places.

Preferred stock

$\%$

Common stock

$\%($Please explain how to get each calculation $($mostly for $3$rd row and down$))$