Question
Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed
Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends:
| Year 1: | $10,000 |
| Year 2: | 45,000 |
| Year 3: | 90,000 |
Determine the dividends in arrears for preferred stock for the second year.
A) $0
B) $10,000
C) $30,000
D) $25,000
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The Process Auditing And Techniques Guide
Authors: J.P. Russell
2nd Edition
087389782X, 978-0873897822
