Platinum Garde Corporation has 50,000 shares of $1.90 preferred stock outstanding in addition to its common stock. The $1.90 designation means that the preferred stockholders receive an annual cash dividend of $1.90 per share. In 2018, Platinum Garde declares an annual dividend of $500,000. The allocation to preferred and common stockholders is: (Click the icon to view the data.) Read the requirements. 1. How much in dividends must Platinum Garde declare each year before the common stockholders receive any cash dividends for the year? each year before the common stockholders Platinum Garde must declare dividends of $ receive any cash dividends for the year. i Data Table - X Requirements - X Preferred dividend (50,000 shares x 1.90 per share) .......... 95,000 405,000 Common dividend (remainder: $500,000 - $95,000)... 500,000 Total dividend.... Toldi aividend . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Answer these questions about Platinum Garde's cash dividends. 1. How much in dividends must Platinum Garde declare each year before the common stockholders receive any cash dividends for the year? 2. Suppose Platinum Garde declares cash dividends of $250,000 for 2018. How much of the dividends goes to preferred shareholders? How much goes to common shareholders? 3. Is Platinum Garde's preferred stock cumulative or noncumulative? How can you tell? 4. Platinum Garde passed the preferred dividend in 2017 and 2018. Then in 2019, Platinum Garde declares cash dividends of $1,200,000. How much of the dividends goes to preferred shareholders? How much goes to common shareholders? Print Done Check