Preferred Stock As of December 31, 2015, we had one class of preferred stock outstanding. We are authorized to issue approximately 22 million shares of cumulative preferred stock, $1.00 par value per share. Series A Convertible Preferred Stock: We have issued 300,000 shares of Series A convertible perpetual preferred stock with an aggregate liquidation preference of $300 and an initial fair value of $349. The convertible preferred stock pays quarterly cash dividends at a rate of 8% per year ($24 per year). Each share of convertible preferred stock is convertible at any time, at the option of the holder, into 89.8876 shares of common stock for a total of 26,966 thousand shares (reflecting an initial conversion price of approximately $11.125 per share of common stock), subject to customary anti-dilution adjustments. Common Stock We have 1.75 billion authorized shares of common stock, $1.00 par value per share. At December 31, 2015, 102 million shares were reserved for issuance under our incentive compensation plans, 48 million shares were reserved for debt to equity exchanges and 27 million shares were reserved for conversion of the Series A convertible preferred stock.

At December 31, 2015, Xerox reports $349 million of 8% Series A Convertible Preferred stock. What is the dollar amount of dividends that Xerox must pay on this stock (assume a par value of $110 per share)?

Analyzing Convertible Preferred Stock Xerox Corp. reports the following stockholders' equity information in its 10-K report. Shareholders' Equity December 31 (in millions, except par value) 2015 2014 Series A convertible preferred stock Common stock, $1 par value $349 $349 $1,013 $1,124 Additional paid-in capital 3,017 4,283 Treasury stock,at cost Retained earnings (105) 9,797 9,646 Accumulated other comprehensive loss (4531) (4,048) Xerox shareholders' equity $9,296 $10,900