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Houston Corporation has the following stock outstanding: - 5% cumulative preferred stock, par $20 (50,000 shares issued and outstanding) - $1,000,000 - Common Stock, par
Houston Corporation has the following stock outstanding:
- 5% cumulative preferred stock, par $20 (50,000 shares issued and outstanding) - $1,000,000
- Common Stock, par $5 (400,000 share issued and outstanding) - $2,000,000
In 2012, Houston paid $330,000 in dividends. No dividends were paid in 2011 or 2010. Required: a) Compute the total amount of dividends that was paid to each class of stock. b) Compute the amount of dividends per share for each class of stock.
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