Question 7 (1 point) Ferman Corporation had net income of $200,000 and paid dividends of $50,000 to common stockholders and $20,000 to preferred stockholders in 2012. Ferman Corporation's common stockholders' equity at the beginning and end of 2012 was $870,000 and $1,130,000, respectively. Ferman Corporation's return on common stockholders' equity was 1) 20%. 2) 18%. 3) 15%. O 4) 13%. Question 8 (1 point) The following information pertains to Benedict Company. Assume that all balance sheet amounts represent average balance figures. Total assets $300,000 Stockholders equity-common 160.000 Total stockholders equity 200.000 Sales 100,000 Net income 20.000 Number of shares of common stock 6.000 Common stock dividends 6,000 Preferred stock dividends 4,000 What is the payout ratio for Benedict? 1) 50% 2) 30% 3) 20% 4) 6% Question 9 (1 point) Alt Corp. issues 2,000 shares of $10 par value common stock at $14 per share. When the transaction is recorded, credits are made to: 1) Common Stock $20,000 and Paid-in Capital in Excess of Stated Value $8,000. 2) Common Stock $28,000. 3) Common Stock $20,000 and Paid-in Capital in Excess of Par Value $8,000. O 4) Common Stock $20,000 and Retained Earnings $8,000. Question 10 (1 point) Outstanding stock of the Hall Corporation included 30,000 shares of $5 par common stock and 15,000 shares of 6%, $10 par non-cumulative preferred stock. In 2011, Hall declared and paid dividends of $6,000. In 2012, Hall declared and paid dividends of $18,000. How much of the 2012 dividend was distributed to preferred shareholders? 1) $12,000. 2) $21,000. 3) $9,000. 4) None of the above