Question
Sweet Companys outstanding stock consists of 1,900 shares of cumulative 5% preferred stock with a $100 par value and 10,900 shares of common stock with
Sweet Companys outstanding stock consists of 1,900 shares of cumulative 5% preferred stock with a $100 par value and 10,900 shares of common stock with a $10 par value. During the first three years of operation, the corporation declared and paid the following total cash dividends.
Dividends Declared & Paid | ||
Year 1 | $ | 2,900 |
Year 2 | $ | 6,900 |
Year 3 | $ | 36,500 |
The total amount of dividends paid to preferred and common shareholders over the three-year period is:
Multiple Choice
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$16,400 preferred; $29,900 common.
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$28,500 preferred; $17,800 common.
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$21,900 preferred; $24,400 common.
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$9,500 preferred; $36,800 common.
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$19,000 preferred; $27,300 common.
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