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Pecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre his declared the following annual dividends over a six-year period: Year

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Pecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre his declared the following annual dividends over a six-year period: Year 1, $64,000; Year 2, 5192,000; Year 3, 304,000; Year 4 $352,000; Year 5, $448,000; and Year 6, 576,000. During the entire period ending December 31 of each year, the outstanding stock of the company was composed of 40,000 shares of cumulative, 4% preferred stock, 5100 par, and 100,000 shares of common stock, 5 par. Required: 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. It required, round your answers to two decimal places. If the amount is zero, please enter "o". Preferred Dividends Common Dividends Total Dividends Year Total Per Share Total Per Share Year 1 Year 2 $ 64,000 192,000 304,000 Year 3 Year 4 352,000 Years 448,000 576,000 Year 6 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 Year Total Dividends $ 64,000 Total Per Share Total Per Share Year 1 Year 2 192,000 Year 3 304,000 Year 4 Year 5 352,000 448,000 Year 6 576,000 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 $217 for the preferred stock and $11 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. Round your answers to two decimal places. Preferred stock % Common stock %

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