Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please help me know where the numbers in red circle come from !! Dividends on Preferred and Common Stock Yosemite Bike Corp. manufactures mountain bikes

Please help me know where the numbers in red circle come from !!

DividendsonPreferredandCommon Stock

Yosemite Bike Corp. manufactures mountain bikes and distributes them through retail outlets in California, Oregon, and Washington. Yosemite Bike has declared the following annual dividends over a six-year period ended December 31 of each year: Year 1, $24,000; Year 2, $10,000; Year 3, $126,000; Year 4, $100,000; Year 5, $125,000; and Year 6, $125,000. During the entire period, theoutstanding stockof the company was composed of 25,000 shares ofcumulative preferred2% stock, $90par, and 100,000 shares of common stock, $4 par.

Required:

image text in transcribed
Required 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 two decimal places . If the amount is zero , please enter " , " Preferred Dividends Common Dividends Total Dividends per Share Total Share Year 1 $24,000 24.090 96/V DIV Year 2 10 000 10 090 Q . 4/V Year 3 126000 101 900/ 4 041 4 25 , DOOR 0 . 25/ V Year4 100,000 5 090/ 1. 8/V 35 00 ) Year 5 125,000 45090 8 / V 80.000 0. 8 / V Year 6 125, 000 45, 000 18/V 80 009/ V O . BIV 10 . 81

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Terminology

Authors: Michael P Griffin

1st Edition

1423229371, 9781423229377

More Books

Students also viewed these Accounting questions