Exercise $18-18($Algo$)$ Effect of cumulative, nonparticipating preferred stock on dividends$-3$ years $[$LO$18-$

$7]$

The shareholders' equity of ILP Industries includes the items shown below. The board of directors of ILP declared cash dividends of

$$35$ million, $$65$ million, and $$240$ million in its first three years of operation$-2024,2025,$ and $2026,$ respectively.

Required:

Determine the amount of dividends to be paid to preferred and common shareholders in each of the three years, assuming that the

preferred stock is cumulative and nonparticipating.

Determine the amount of dividends to be paid to preferred and common shareholders in each of the three years, assuming that the

preferred stock is noncumulative and nonparticipating.

Complete this question by entering your answers in the tabs below.

Required $1$

Determine the amount of dividends to be paid to preferred and common shareholders in each of the three years, assuming

that the preferred stock is cumulative and nonparticipating.

Note: Enter your answers in millions $($i$.$e$.,10,000,000$ should be entered as $10).$