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The records of Keating Corporation reflected the following balances in the stockholders' equity accounts at December 31 , 2021: Common stock, par $12 per share,

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The records of Keating Corporation reflected the following balances in the stockholders' equity accounts at December 31 , 2021: Common stock, par $12 per share, 41,000 shares outstanding. Preferred stock, 8 percent, par $12.00 per share, 6,110 shares outstanding. Retained earnings, $222,000. On January 1, 2022, the board of directors was considering the distribution of a $62,200 cash dividend, No dividends were paid during 2020 and 2021 . Required: 1. Determine the total and per-share amounts that would be paid to the common stockholders and to the preferred stockholders under two independent assumptions: a. The preferred stock is noncumulative. b. The preferred stock is cumulative. 2. Why might the dividends per share of common stock be different for noncumulative preferred stock and cumulative preferred stock? Complete this question by entering your answers in the tabs below. Determine the total and per-share amounts that would be paid to the common stockholders and to the preferred stockholders assuming the preferred stock is noncumulative. (Round "Per Share" to 2 decimal places and rest to the nearest dollar. 2. Why might the dividends per share of common stock be different for noncumulative preferred stock and cumulative preferre stock? Complete this question by entering your answers in the tabs below. Determine the total and per-share amounts that would be paid to the common stockholders and to the preferred stockholders assuming the preferred stock is noncumulative. (Round "Per Share" to 2 decimal places and rest to the nearest dollar amount.) 3. What factors would cause a more favorable dividend for the common stockholders? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) The preferred dividends were not in artears. The preferred dividends were not cumulative. ? The total dividend distribution was increased. ? The preferred dividends were in arrears. ? The preferred dividends were cumulative. ? The total dividend distribution wos decreased. 2. Why might the dividends per share of common stock be different for noncumulative preferred stock and cumulative preferrec stock? Complete this question by entering your answers in the tabs below. Determine the total and per-share amounts that would be paid to the common stockholders and to the preferred stockholders assuming the preferred stock is cumulative. (Do not round intermediate instructions. Round "Per Share" to 2 decimal places and rest to the nearest dollar amount.) a. The preferred stock is noncumulative. b. The preferred stock is cumulative. 2. Why might the dividends per share of common stock be different for noncumulative preferred stock and cumulative preferred stock? Complete this question by entering your answers in the tabs below. Why might the dividends per share of common stock be different for noncumulative preferred stock and cumulative preferred stock? The dividends in arrears on the cumulative preferted stock had to be paid before any dividends could be paid on the common stock. The dividend rate for cumulative preferred stock and noncumulative preferred stock are different

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