For Cod's Sake was formed on September 1, 2020, and issued 100,000 shares of common stock with a par value of $1, for $112,000 Later, on October 1, 2020, It issued 15,000 shares of $8 par, 5 cumulative preferred stock, for $150,000 In 2020, it did not declare any dividends On March 1, 2021, it re purchased 3,000 shares of its preferred stock at $13 per share On September 1, 2021, it declared cash dividends of $6,200, for shareholders of record on September 18, 2021 On September 29, 2021, it paid the cash dividends On May 15, 2022, it declared cash dividends of $17,400, for shareholders of record on May 29, 2022 On June 7, 2022, it paid the cash dividends QUESTIONS Prepare all required journal entries for 2020 and 2021 Make sure to include dates and descriptions You do not need to prepare the journal entries for the 2022 transactions (3 points) (HINT There is a not so obvious journal entry for 2021 which you must also make ) Determine the total amount of dividends preferred shareholders and common shareholders will have received through December 31, 2022 Then, determine the total amount of dividends preferred shareholders and common shareholders would have received through December 31, 2022 if the preferred stock had been non cumulative How much more in dividends did common shareholders receive because the preferred stock was non cumulative (4 points) SPECIFIC INSTRUCTIONS You must show all of your work for each part of this question If you do not show your work, you will not receive any points for this question, even if you have the correct answer

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For Cod's Sake was formed on September 1, 2020, and issued 100,000 shares of common stock with a par value of $1, for $112,000. Later,

For Cod's Sake was formed on September 1, 2020, and issued 100,000 shares of common stock with a par value of $1, for $112,000. Later, on October 1, 2020, It issued 15,000 shares of $8 par, 5% cumulative preferred stock, for $150,000. In 2020, it did not declare any dividends.

On March 1, 2021, it re-purchased 3,000 shares of its preferred stock at $13 per share. On September 1, 2021, it declared cash dividends of $6,200, for shareholders of record on September 18, 2021. On September 29, 2021, it paid the cash dividends.

On May 15, 2022, it declared cash dividends of $17,400, for shareholders of record on May 29, 2022. On June 7, 2022, it paid the cash dividends.

QUESTIONS:

Prepare all required journal entries for 2020 and 2021. Make sure to include dates and descriptions. You do not need to prepare the journal entries for the 2022 transactions. (3 points) (HINT: There is a not-so-obvious journal entry for 2021 which you must also make.)
Determine the total amount of dividends preferred shareholders and common shareholders will have received through December 31, 2022. Then, determine the total amount of dividends preferred shareholders and common shareholders would have received through December 31, 2022 if the preferred stock had been non-cumulative. How much more in dividends did common shareholders receive because the preferred stock was non-cumulative? (4 points)

SPECIFIC INSTRUCTIONS:

You must show all of your work for each part of this question. If you do not show your work, you will not receive any points for this question, even if you have the correct answer.