Pronghorn Limited's ledger shows the following balances on December 31, 2023: Preferred shares outstanding: 20,000 shares Common shares outstanding: 39,000 shares Retained earnings (a) Your answer is incorrect. Assuming that the directors decide to declare total dividends in the amount of $393,900, determine how much each class of shares should receive if the preferred shares are cumulative and fully participating. Note that one year's dividends are in arrears on the preferred shares, which pay a dividend of $1.82 per share. (Round intermediate percentage calculations to 4 decimal places, e.g. 12.2525% and final answers to O decimal places, e.g. 5,275.) Dividends $ $520,000 2,730,000 787,800 Preferred $ LA Common $ LA Total
Pronghorn Limited's ledger shows the following balances on December 31, 2023: Preferred shares outstanding: 20,000 shares Common shares outstanding: 39,000 shares Retained earnings (a) Your answer is incorrect. Assuming that the directors decide to declare total dividends in the amount of $393,900, determine how much each class of shares should receive if the preferred shares are cumulative and fully participating. Note that one year's dividends are in arrears on the preferred shares, which pay a dividend of $1.82 per share. (Round intermediate percentage calculations to 4 decimal places, e.g. 12.2525% and final answers to O decimal places, e.g. 5,275.) Dividends $ $520,000 2,730,000 787,800 Preferred $ LA Common $ LA Total
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Ef 329.
Transcribed Image Text:Pronghorn Limited's ledger shows the following balances on December 31, 2023:
Preferred shares outstanding: 20,000 shares
Common shares outstanding: 39,000 shares
Retained earnings
(a)
Your answer is incorrect.
Assuming that the directors decide to declare total dividends in the amount of $393,900, determine how much each class of
shares should receive if the preferred shares are cumulative and fully participating. Note that one year's dividends are in arrears
on the preferred shares, which pay a dividend of $1.82 per share. (Round intermediate percentage calculations to 4 decimal places, e.g.
12.2525% and final answers to O decimal places, e.g. 5,275.)
Dividends $
LA
$520,000
2,730,000
787,800
Preferred
$
LA
Common
tA
Total
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