Dividend Distribution Ryan Corporation began business on March 1, 2016. At that time, it issued 20,000 shares of $60 par value, seven percent cumulative preferred stock and 100,000 shares of $5 par value common stock. Through the end of 2018, there had been no change in the number of preferred and common shares outstanding. Required a. Assume that Ryan declared dividends of $0 in 2016, $195,000 in 2017, and $200,000 in 2018. Calculate the total dividends and the dividends per share paid to each class of stock in 2016, 2017, and 2018. Round to two decimal places. b. Assume that Ryan declared dividends of $0 in 2016, $90,000 in 2017, and $190,000 in 2018. Calculate the total dividends and the dividends per share paid to each class of stock in 2016, 2017, and 2018. Round to two decimal places.
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Dividend Distribution
Ryan Corporation began business on March 1, 2016. At that time, it issued 20,000 shares of $60 par value, seven percent cumulative preferred stock and 100,000 shares of $5 par value common stock. Through the end of 2018, there had been no change in the number of preferred and common shares outstanding.
Required
a. Assume that Ryan declared dividends of $0 in 2016, $195,000 in 2017, and $200,000 in 2018. Calculate the total dividends and the dividends per share paid to each class of stock in 2016, 2017, and 2018. Round to two decimal places.
b. Assume that Ryan declared dividends of $0 in 2016, $90,000 in 2017, and $190,000 in 2018. Calculate the total dividends and the dividends per share paid to each class of stock in 2016, 2017, and 2018. Round to two decimal places.
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