The following share capital information is available for a corporation with an April 30, 2022 year-end: The shares were issued when the corporation began operations on May 1, 2015. No dividends were declared during the fiscal years ended 2020 and 2021. On February 28, 2022, the board of directors declared the required preferred share dividends and a $0.75 dividend for each of the common shares. The dividends are payable on April 1, 2022, to the shareholders of record on March 15, 2022.

Preferred shares, $3.00 cumulative, 27,000 shares issued		$1,000,000
Preferred shares, $4.50 noncumulative, 15,000 shares issued		600,000
Common shares, 220,000 shares issued		1,320,000

How much will be paid to each class of shares?

Year		Cumulative Preferred		Non-cumulative Preferred		Common
2020		$		$		$
2021		$		$		$
2022		$		$		$

eTextbook and Media

List of Accounts

Question Part Score

--/3

Prepare journal entries on the appropriate dates for the 2022 dividends. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Feb. 28, 2022	Salaries ExpenseSalaries PayableCash Dividends - CommonPrepaid ExpensesCash Dividends - PreferredCashOffice ExpenseDividends Payable
	Office ExpenseSalaries PayableCash Dividends - CommonSalaries ExpenseCash Dividends - PreferredCashPrepaid ExpensesDividends Payable
	Prepaid ExpensesSalaries ExpenseCashCash Dividends - CommonDividends PayableSalaries PayableCash Dividends - PreferredOffice Expense
	Salaries ExpenseCash Dividends - PreferredOffice ExpenseDividends PayableSalaries PayableCash Dividends - CommonPrepaid ExpensesCash
April 1, 2022	Prepaid ExpensesCashOffice ExpenseSalaries ExpenseSalaries PayableCash Dividends - PreferredCash Dividends - CommonDividends Payable
	Cash Dividends - PreferredCashPrepaid ExpensesDividends PayableSalaries ExpenseCash Dividends - CommonSalaries PayableOffice Expense

eTextbook and Media

List of Accounts

Question Part Score

--/3

Assume instead that the maximum cash dividend the company can pay is $387,500. Determine how much will be paid to the preferred shareholders and to the common shareholders.

Year		Cumulative Preferred		Non-cumulative Preferred		Common
2022		$		$		$

eTextbook and Media

List of Accounts

Current Attempt in Progress The following share capital information is wailable for a corporation with an April 30, 2072 year-end: The shares were issued when the corporation began operations on May 1, 2015. No dividends were declared during the fiscal years ended 2020 and 2021. On February 28, 2022, the board of directors declared the required preferred share dividends and $0.75 dividend for each of the common shares. The dividends are payable on April 1, 2022. to the shareholders at record on March 15, 2022 Preferred shares. $3.00 cumulative. 27.000 shares issued $1,000,000 Preferred shares 450 no cumulative. 15.000 shares issued 600.000 Common shares 220,000 shares issued 1.320.000 How much will be paid to each class of shares? Year Cumulative Preferred Non-cumulative Preferred Common 2020 5 $ $ 2021 $ $ 2022 $ $ $ e Textbook and Media List of Accounts Question Part Score --/3 Prepare journal entries on the appropriate dates for the 2022 dividends. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. I no entry is required, select "No Entry for the account titles and enter for the amounts) Date Account Titles and Explanation Debit Credit Feb. 28, 2022 April 1, 2022 eTextbook and Media List of Accounts Assume instead that the maximum cash dividend the company can pay is $387,500. Determine how much will be paid to the preferred shareholders and to the common shareholders Year Cumulative Preferred Non-cumulative Preferred Common 2022 $ $ $ e Textbook and Media List of Accounts