Analyzing Cash Dividends on Preferred and Common StockPotter Company has outstanding 13,000 shares of $50 par value, 10% preferred stock and 50,000 shares of $5 par value common stock. During its first three years in business, it declared and paid no cash dividends in the first year, $270,000 in the second year, and$65,000 in the third year.(a) If the preferred stock is cumulative, determine the total amount of cash dividends paid to each class of stock in each of the three years.Distibution toPreferred Common Stock$Year 1Year 2 $Year 3 $$$$(b) If the preferred stock is noncumulative, determine the total amount of cash dividends paid to each class of stock in each of the three years.Distibution toPreferred Common StockYear 1 $Year 2 $Year 3 $$$$ Identifying and Analyzing Financial Statement Effects of DividendsThe stockholders' equity of DiFrancesco Company at March 31, 2019 is shown below.4% preferred stock, $1,000 par value, 25,000 shares authorized; 10,000 shares issued and outstanding $10,000,000Common stock, $1 par value, 3,000,000 shares authorized; 700,000 shares issued and outstandingAdditional paid-in capital-preferred stockAdditional paid-in capital-common stockRetained earningsTotal stockholders' equityThe following transactions, among others, occurred during the fiscal year ended March 31, 2020.April 15, 2019 Declare and pay preferred dividends of $460,000.April 15, 2019 Declare and pay common dividends of $1.70 per share.October 1, 2019 Execute a 3-for-1 stock split of the common stock when the stock price was $161 per share.March 1, 2020 Declare and pay common dividends of $0.90 per share.TransactionApr. 15Apr. 15Oct. 1Mar. 1(a) Use the financial statement effects template to indicate the effects of these separate transactions.Note: Use negative signs with answers, when appropriate.Balance SheetLiabilities + Contributed +CapitalCashAsset700,00060,000+ NoncashAssets17,150,00056,356,542$84,266,542EarnedCapitalRevenueIncome StatementNetExpenses Income(b) At March 31, 2020, the company reported net income for the year of $8,900,610. Compute retained earnings as of March 31, 2020.$

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FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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in the following table. Determine the total and per-share dividends for each class of stock for each year by completing the schedule. Round per share amounts to the nearest cent when rounding is required. If an answer is zero, enter "0". A company had stock outstanding as follows during each of its first three years of operations: 2,500 shares of 10%, $100 par, cumulative | in the following table. Determine the total and per-share dividends for each class of stock for each year by completing the schedule. Round per share amounts to the nearest cent when rounding is required. If an answer is zero, enter "0". Preferred Year Dividends Total Per Share 1 $10,000 2 25,000 3 60,000 Common Total Per Share
! Required Information [The following information applies to the questions displayed below.] Refer to the following transactions. a. Sold 2,010 shares of $9 par value preferred stock at $14.50 per share. b. Declared the annual cash dividend of $3.6 per share on common stock. There were 9,000 shares of $1 par value common stock issued and outstanding throughout the year. c. Issued 3,400 shares of $11.5 par value preferred stock in exchange for a building when the market price of preferred stock was $16 per share. d. Purchased 180 shares of preferred stock for the treasury at a price of $12.00 per share. e. Sold 70 shares of the preferred stock held in treasury (see d) for $17.5 per share. f. Declared and issued a 20% stock dividend on the $1 par value common stock (see b) when the market price per share was $39. Required: Show the effect (if any) of each of the above transactions on each financial statement category by selecting a plus (+) or minus (-) sign and the amount in the…
Dividends Per Share Windborn Company has 20,000 shares of cumulative preferred 2% stock, $150 par and 50,000 shares of $25 par common stock. The following amounts were distributed as dividends: 20Y1 $120,000 20Y2 24,000 20Y3 180,000 Determine the dividends per share for preferred and common stock for each year. Round all answers to two decimal places. If an answer is zero, enter '0'. Preferred Stock(dividends per share) Common Stock(dividends per share) 20Y1 20Y2 20Y3
Windborn Company has 30,000 shares of cumulative preferred 1% stock, $100 par and 50,000 shares of $30 par common stock. The following amounts were distributed as dividends: 20Y1 $75,000 20Y2 15,000 20Y3 90,000 Determine the dividends per share for preferred and common stock for each year. Round all answers to two decimal places. If an answer is zero, enter '0'.
A company had stock outstanding as follows during each of its first three years of operations: 3,000 shares of 8%, $100 par, cumulative preferred stock and 51,000 shares of $10 par common stock. The amounts distributed as dividends follow. Determine the total and per-share dividends for each class of stock for each year by completing the schedule. Round dividends per share to the nearest cent. If your answer is zero, please enter "0". Year 1 2 3 Dividends $18,000 24,000 54,450 $ $ Total Preferred Per Share Total Common Per Share
Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Year 1 total cash dividends Year 2 total cash dividends Year 3 total cash dividends Year 4 total cash dividends Exercise 11-12 (Algo) Dividends on common and cumulative preferred LO C2 York's outstanding stock consists of 60,000 shares of cumulative 7.5% preferred stock with a $5 par value and also 170,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends: (Round your "Dividend per Preferred Share" answer to 3 decimal places.) Annual Preferred Dividend: Year 1 Year 2 Year 3 Year 4 Totals Par Value per Preferred Share Total Cash Dividend Paid $ $ $ 10,700 20,500 290,000 440,000 10,700 20,500 290,000 440,000 761,200 Dividend Rate Paid to Preferred Dividend per Number of Preferred Preferred Share Shares Paid to Common Dividends in Arrears at year-end…
A company had stock outstanding as follows during each of its first 3 years of operations: 1,000 shares of 9%, $100 par, cumulative preferred stock and 32,000 shares of $10 par common stock. The amounts distributed as dividends are presented in the following schedule. Determine the total and per-share dividends for each class of stock for each year by completing the schedule. If necessary, round dividends per share to the nearest cent. If your answer is zero, please enter "0". Year 1 2 3 Dividends $6,750 9,000 25,580 Preferred Total Preferred Per Share Common Total Common Per Share
Dividends Per Share Windborn Company has 20,000 shares of cumulative preferred 1% stock, $100 par and 50,000 shares of $10 par common stock. The following amounts were distributed as dividends: 20Y1 $30,00020Y2 16,00020Y3 60,000Determine the dividends per share for preferred and common stock for each year. Round all answers to two decimal places. If an answer is zero, enter '0'. Preferred Stock(dividends per share) Common Stock (dividends per share)20Y1 $fill in the blank 1$fill in the blank 220Y2 $fill in the blank 3$fill in the blank 420Y3 $fill in the blank 5$fill in the blank 6
Kingbird Company has outstanding 2,700 shares of $100 par, 6% preferred stock and 14,300 shares of $10 par value common. The following schedule shows the amount of dividends paid out over the last 4 years. Allocate the dividends to each type of stock under assumptions (a) and (b). Express your answers in per share amounts using the format shown below. (Round the rate of participation to 4 decimal places, e.g.1.4278%. Round answers to 2 decimal places, e.g. 6.85.) Paid- out $11,900 $ $25,800 $ $51,900 $ $69,400 $ (a) Preferred, noncumulative, and nonparticipating Preferred LA LA $ Common Assumptions LA LA LA $ (b) Preferred, cumulative, and fully participating Preferred LA LA $ Common
Sunland Company has outstanding 2,800 shares of $100 par, 7% preferred stock and 15,900 shares of $10 par value common. The following schedule shows the amount of dividends paid out over the last 4 years. Allocate the dividends to each type of stock under assumptions (a) and (b). Express your answers in per share amounts using the format shown below. (Round the rate of participation to 4 decimal places, e.g.1.4278%. Round answers to 2 decimal places, e.g. 6.85.) Paid- out $12,200 $29,200 $53,800 $78,500 $ $ $ $ Preferred, noncumulative, and nonparticipating Preferred 4.36 7 7 (a) 7 $ $ $ LA Common Assumptions 0 .4898 1.7449 3.0051 $ $ LA $ $ Preferred Preferred, cumulative, and fully participating 4.36 9.6429 12.25 (b) 17.84 $ $ LA $ Commo
еВook Show Me How Calculator Dividends Per Share Sandpiper Company has 15,000 shares of cumulative preferred 2% stock, $150 par and 50,000 shares of $15 par common stock. The following amounts were distributed as dividends: 20Υ1 $90,000 20Υ2 36,000 20Υ3 135,000 Determine the dividends per share for preferred and common stock for each year. Round all answers to two decimal places. If an answer is zero, enter '0'. Preferred Stock Common Stock (dividends per share) (dividends per share) 20Υ1 20Υ2 %24 %2$ 20Υ3 Check My Work 1 more Check My Work uses remaining. Previous Next
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