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Ritz Company had the following stock outstanding and Retained Earnings at December 3 1 , 2 0 2 1 : Common stock ( par $
Ritz Company had the following stock outstanding and Retained Earnings at December :
Common stock par $; issued and outstanding, shares
$
Preferred stock, par $; issued and outstanding,
shares
Retained Earnings
On December the board of directors is considering the distribution of a cash dividend to the common and preferred
eBook
stockholders. No dividends were declared during or Three independent cases are assumed:
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Case A: The preferred stock is noncumulative; the total amount of dividends would be $
Case B: The preferred stock is cumulative; the total amount of dividends would be $ Dividends were not in arrears prior to
Case C: Same as Case B except the amount is $
Required:
a Compute the amount of dividends in total payable to each class of stockholders if dividends were declared as described in each case.
b Compute the amount of dividends per share payable to each class of stockholders if dividends were declared as described in each case.
Complete this question by entering your answers in the tabs below.
Req
Req B
Compute the amount of dividends in total payable to each class of stockholders if dividends were declared as described in
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