Palestine Corporation has $800,000 of 6% preferred stock, and $3,200,000 of common stock outstanding, each having a par value of $10. No dividends have been declared for 2019 and 2020. As of 12/31/21, it is desired to distribute $360,000 in dividends. How much will the preferred stockholders receive if their stock is cumulative and participating up to 11% in total?

Palestine Corporation has $800,000 of 6% preferred stock, and $3,200,000 of common stock outstanding, each having a par value of $10. No dividends have been declared for 2019 and 2020. As of 12/31/21, it is desired to distribute $360,000 in dividends. How much will the preferred stockholders receive if their stock is cumulative and participating up to 11% in total?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Question-based on, "Distributed to preferred stockholders". I have tried it but no correct yet. Any help would be appreciated.
Marigold, Inc. has 10500 shares of 4%, $100 par value, noncumulative preferred stock and 105000 shares of $1 par value common stock outstanding at December 31, 2019, and December 31, 2020. The board of directors declared and paid a $49300 dividend in 2019. In 2020, $111000 of dividends are declared and paid, What are the dividends received by the preferred and common shareholders in 2020? Preferred Common $42000 $69000 $0 $111000 $79500 $31500 $55500 $55500 96 5 6 7 d
On January 1, 2021, Sue Company had 3,000,000 shares of its common stockissued and outstanding. Sue issued a 10% stock dividend on July 1, 2021. OnOctober 1, 2021, Sue retired 120,000 of its common shares. When calculating basicearnings per share for 2021, what is the appropriate number of shares for Sue touse in the denominator of the EPS fraction?
In 2021, Western Transport Company entered into the treasury stock transactions described below. In 2019, Western Transport had issued 130 million shares of its $1 par common stock at $13 per share. Required:Prepare the appropriate journal entry for each of the following transactions: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) On January 23, 2021, Western Transport reacquired 10 million shares at $16 per share. On September 3, 2021, Western Transport sold 5 million treasury shares at $17 per share. On November 4, 2021, Western Transport sold 5 million treasury shares at $14 per share.
what are the dividends allocated to common stock? check pic
On June 30, 2021, when ABC Co. stock was selling for $65 each, the equity accounts had the following balances: Common Stock ($50 par value, 50,000 issued) $2,500,000 Capital Contributed in Excess of Par Value—Common Stocks 600,000 Retained Earnings 4,200,000 How much will the Common Stock account balance be after declaring and distributing a 100% stock dividend? a. $5,000,000. b. $7,300,000. c. $2,500,000.
Question-based on, "common stockholders". I have tried it but no answer yet.
Suppose a corporation has the following shares outstanding: 1. $800,000 in 6% Preferred Stock ($100 par value) 2. $3,200,000 in Common Stock ($10 par value) No dividends were declared for the years 2020 and 2021. Two scenarios are presented below and each is independent of each other. Scenario 1: As of December 31, 2022, a dividend of $250,000 is declared. Indicate the amount that the preferred shareholders will receive if the share is cumulative and non-participating (cumulative and non-participating). Answer: Scenario 2: As of December 31, 2022, a dividend of $800,000 is declared. Indicate the amount that the preferred shareholders will receive if the share is cumulative and non-participating up to 11% in total (cumulative and non-participating). Answer:
Question-based on, "Common stockholders". I have tried it but not correct. Any help would be appreciated.
Outstanding stock of the Marigold Corporation included 39800 shares of $5 par common stock and 19900 shares of 6%, $10 par noncumulative preferred stock. In 2019, Marigold declared and paid dividends of $8900. In 2020, Marigold declared and paid dividends of $24400. How much of the 2020 dividend was distributed to preferred shareholders? O $15920 $8900 O $11940 O None of these answer choices are correct
Gadubhai
The shareholders’ equity of MLS Enterprises includes $100 million of no par common stock and $200 million of 6% cumulative preferred stock. The board of directors of MLS declared cash dividends of $31 million in 2021 after paying $7 million cash dividends in both 2020 and 2019. What is the amount of dividends common shareholders will receive in 2021?