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Please answer in table form just like the question. Thank you. When Crossett Corporation was organized in January 2018, it immediately issued 4,100 shares of
Please answer in table form just like the question. Thank you.
When Crossett Corporation was organized in January 2018, it immediately issued 4,100 shares of $48 par, 4 percent, cumulative preferred stock and 10,500 shares of $7 par common stock. Its earnings history is as follows: 2018, net loss of $15,900; 2019, net income of $59,200; 2020, net income of $87,700. The corporation did not pay a dividend in 2018. Required: a. How much is the dividend arrearage as of January 1, 2019? b. Assume that the board of directors declares a $32,744 cash dividend at the end of 2019 (remember that the 2018 and 2019 preferred dividends are due). How will the dividend be divided between the preferred and common stockholders? Complete this question by entering your answers in the tabs below. Required ARequired B Assume that the board of directors declares a $32,744 cash dividend at the end of 2019 (remember that the 2018 and 2019 preferred dividends are due). How will the dividend be divided between the preferred and common stockholders? (Negative amounts should be indicated by a minus sign.) Distributed to Shareholders Preferred Common Amount Total dividend declared 2018 Arrearage 2019 Preferred dividends Available for common Distributed to commorn Total distributionStep by Step Solution
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