Mastery Problem: Corporations: Organization, Stock Transactions, and Dividends Pranks, Inc. Pranks, Inc. is a manufacturer of joke and novelty products for perpetrators of practical jokes. The corporation has paid several cash dividende throughout Year 6, the current year. It is also declaring a stock dividend to its stockholders as the calendar year-end approaches. You've been brought in as a consultant to assist with this process, and also to help determine whether some missing Information can be determined before the distribution of the stock dividend is made. The company has two dasses of stock: common stock and cumulative preferred stock. Number of common shares authorized Number of common shares issued 900,000 750,000 $20 Par value of common shares $30 $7,000,000 $0 Par value of cumulative preferred shares Paid-in capital in excess of par-common stock Pald-in capital in excess of par preferred stock Total retained earnings before the stock dividend is dedared No treasury share have been reissued. $33,500,000 Preferred Dividends Common Dividends Total Cash Dividends Total Total Year Per Share Per Share 0 0.00 Year 1 0.20 30,000 30,000 54,000 Year 2 0 0.00 0.36 54,000 0.09 96,000 Year 3 45,000 0.34 51,000 Check My Work Submit Assignment for Gradi Preferred Dividends Common Dividends Total Cash Dividends Year Total Per Share Total Per Share Year 1 30,000 0.20 0 0.00 30,000 54,000 Year 2 54,000 0.36 0 0.00 Year 3 0.34 45,000 0.09 96,000 120,000 51,000 45,000 Year 4 0.3 75,000 0.15 Year 5 45,000 0.3 0.18 135,000 195,000 90,000 150,000 Year 6 45,000 0.3 0.3 Cash Dividends The accounting manager for the company prepared the schedule of cash dividends paid from Year 1 to Year 6 on the Pranks, Inc. panel. However, one of the reasons for Pranks, Inc.'s missing information is that the manager is away on vacation and is unreachable by phone, because he is backpacking on a remote island that does not have cell phone reception. Management would like you to determine some information from the data you've collected regarding its outstanding stock. Fill in the following answers, How many shares of common stock are outstanding? How many shares of preferred stock are outstanding? regarding it outstanding stock. Fill in the following answers. How many shares of common stock are outstanding? How many shares of preferred stock are outstanding? What is the preferred dividend as a percent of par? % Feedback