Texas Inc. has 9,000 shares of 8%, $125 par value cumulative preferred stock and 87,000 shares of $1 par value common stock outstanding at December 31. What is the annual dividend on the preferred stock? a. $80.00 per share b. $6,960 in total c. $90,000 in total d. $0.01 per share

Texas Inc. has 9,000 shares of 8%, $125 par value cumulative preferred stock and 87,000 shares of $1 par value common stock outstanding at December 31. What is the annual dividend on the preferred stock? a. $80.00 per share b. $6,960 in total c. $90,000 in total d. $0.01 per share

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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Question

Texas Inc. has 9,000 shares of 8%, $125 par value cumulative preferred stock and 87,000 shares of $1 par value common stock outstanding at December 31. What is the annual dividend on the preferred stock?

a. $80.00 per share

b. $6,960 in total

c. $90,000 in total

d. $0.01 per share

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