Early in 2018, Morty, Inc., was organized with authorization to issue 3,000 shares of $100 par value preferred stock and 300,000 shares of $1 par value common stock. 800 shares of the preferred stock were issued at par, and 90,000 shares of common stock were sold at $13 per share. The preferred stock pays a 10 percent cumulative dividend.

During the first four years of operations (2018 through 2021), the corporation earned a total of $1,950,000 and paid dividends of 40 cents per share in each year on its outstanding common stock.