Question
Love Theatre Inc. owns and operates movie theaters throughout New Mexico and Utah. Love Theatre has declared the following annual dividends over a six-year period
Love Theatre Inc. owns and operates movie theaters throughout New Mexico and Utah. Love Theatre has declared the following annual dividends over a six-year period ending December 31 of each year: Year 1, $32,000; Year 2, $40,000; Year 3, $64,000; Year 4, $192,000; Year 5, $232,000; and Year 6, $296,000. During the entire period, the outstanding stock of the company was composed of 20,000 shares of 4% preferred stock, $100 par, and 100,000 shares of common stock, $25 par.
1. Determine the total dividends and the per-share dividends declared on each class of stock for each of the six years. If required, round your answers to the nearest cent. If the amount is zero, please enter "0".
Preferred Dividends (20,000 shares) | Common Dividends (100,000 shares) | ||||||||||||||||||||||
Year | Total Dividends | Total | Per Share | Total | Per Share | ||||||||||||||||||
Year 1 | $ 32,000 | $ | $ | $ | $ | ||||||||||||||||||
Year 2 | 40,000 | ||||||||||||||||||||||
Year 3 | 64,000 | ||||||||||||||||||||||
Year 4 | 192,000 | ||||||||||||||||||||||
Year 5 | 232,000 | ||||||||||||||||||||||
Year 6 | 296,000 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started