OBLEM 11.5 is of an Equity Section Balance Sheet The year-end balance sheet of Desk Top Products includes the following stockholders' equity sec. Ulon (with certain details omitted): 486 Stockholders' equity: 72% cumulative preferred stock, $100 par value. callable at $105, 100.000 shares authorized Common stock, $2 par value, 900,000 shares authorized Additional pald-in capital: Common stock Donated capital... Retained earnings Total stockholders' equity 2,400,000 @ol. 900,000 8,325,000 Instructions From this information, compute answers to the following questions: a. How many shares of preferred stock have been issued? b. What is the total amount of the annual dividends paid to preferred stockholders? c. How many shares of common stock are outstanding? d. What was the average issuance price per share of common stock? e. What is the amount of legal capital? f. What is the total amount of paid-in capital? R. What is the book value per share of common stock? (There are no dividends in arreurs.) fo h. Assume that retained earnings at the beginning of the year amounted to $717,500 and that net Income for the year was $3,970,000. What was the dividend declared during the year on each 77,50 share of common stock? (Hint: Net income increases retained earnings, whereas dividends de crease retained earnings.) 3,970,000 720,000 2,595,000 $14,940,000