Question
Pecan Theater Inc. owns and operates movie theaters throughout Florida and Ga. Pecan Theater has declared the following annual dividends over a six-year period ending
Pecan Theater Inc. owns and operates movie theaters throughout Florida and Ga. Pecan Theater has declared the following annual dividends over a six-year period ending December 31 of each year, the outstanding stock of the company was composed of 30,000 shares of cumulative, 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. There were no dividends in arrears at the beginning of Year 1. Summarize the data in tabular form. If required, round your answers to two decimal places. If the amount is zero, please enter "0". Year. Total Dividends. Preferred/Common 1. 48,000 total? per share? 2. 144,000 3. 288,000 4. 276,000 5. 336,000 6. 420,000 2. Determine the average annual dividend per share for each class of stock for the six-year period. If required, round your answers to two decimal places. Average annual dividend for preferred_____ per share Average annual dividend for common_____per share 3. Assuming a market price per share of $253 for the preferred stock and $31 for the common stock, determine the average annual percentage return on initial shareholders' investment, based on the average annual dividend per share for preferred stock and for common stock. Preferred stock______% Common stock______%
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