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The shareholders equity of ILP Industries includes the items shown below. The board of directors of ILP declared cash dividends of $47 million, $85 million,

The shareholders equity of ILP Industries includes the items shown below. The board of directors of ILP declared cash dividends of $47 million, $85 million, and $280 million in its first three years of operation2024, 2025, and 2026, respectively. ($ in millions)

Common stock $ 230

Paid-in capitalexcess of par,

common 1,110 Preferred stock, 8% 850

Paid-in capitalexcess of par, preferred 685

Required: Determine the amount of dividends to be paid to preferred and common shareholders in each of the three years, assuming that the preferred stock is cumulative and nonparticipating.

Determine the amount of dividends to be paid to preferred and common shareholders in each of the three years, assuming that the preferred stock is noncumulative and nonparticipating.

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