Determining Preferred Dividend Distributions Olivia Inc. had 90,000 outstanding shares of common stock, $0.01 par, and 24,000 outstanding shares of 7%, cumulative preferred stock, $50 par throughout its initial four years of operations. The company declared dividends of $0, $120,000, $120,000, $120,000, in years 1, 2, 3, and 4, respectively. Required Determine how the dividends were shared between the preferred and common shareholders in years 2, 3, and 4 in total and on a per share basis. Note: Round per share amounts to two decimal places. Total Dividends Dividends per Share Preferred Common Preferred Common Year 1 0 0 0 0 Year 2 Answer Answer Answer Answer Year 3 Answer Answer Answer Answer Year 4 Answer Answer Answer Answer
Determining Preferred Dividend Distributions Olivia Inc. had 90,000 outstanding shares of common stock, $0.01 par, and 24,000 outstanding shares of 7%, cumulative preferred stock, $50 par throughout its initial four years of operations. The company declared dividends of $0, $120,000, $120,000, $120,000, in years 1, 2, 3, and 4, respectively. Required Determine how the dividends were shared between the preferred and common shareholders in years 2, 3, and 4 in total and on a per share basis. Note: Round per share amounts to two decimal places. Total Dividends Dividends per Share Preferred Common Preferred Common Year 1 0 0 0 0 Year 2 Answer Answer Answer Answer Year 3 Answer Answer Answer Answer Year 4 Answer Answer Answer Answer
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Determining Preferred Dividend Distributions
Olivia Inc. had 90,000 outstanding shares of common stock, $0.01 par, and 24,000 outstanding shares of 7%, cumulative
Required
Determine how the dividends were shared between the preferred and common shareholders in years 2, 3, and 4 in total and on a per share basis.
Note: Round per share amounts to two decimal places.
| Total Dividends | Dividends per Share | |||
|---|---|---|---|---|
| Preferred | Common | Preferred | Common | |
| Year 1 | 0 | 0 | 0 | 0 |
| Year 2 | Answer | Answer | Answer | Answer |
| Year 3 | Answer | Answer | Answer | Answer |
| Year 4 | Answer | Answer | Answer | Answer |
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