The Red Violet Company paid a total of P 610,000 dividends in 2020 to its 250,000 shares of P 10 par ordinary share and 20,000 shares of 9% P 100 par preference share. Dividends of P 50,000 were in arrears at January 1,2020. REQUIRED: Compute the total amount of dividends on both preference share capital and ordinary share capital, assuming a.) Preference is participating up to 14% b.) Preference us participating up to 12%
The Red Violet Company paid a total of P 610,000 dividends in 2020 to its 250,000 shares of P 10 par ordinary share and 20,000 shares of 9% P 100 par preference share. Dividends of P 50,000 were in arrears at January 1,2020. REQUIRED: Compute the total amount of dividends on both preference share capital and ordinary share capital, assuming a.) Preference is participating up to 14% b.) Preference us participating up to 12%
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:EXERCISE 9
The Red Violet Company paid a total of P 610,000 dividends in 2020 to its 250,000 shares of P 10 par ordinary
share and 20,000 shares of 9% P 100 par preference share.
Dividends of P 50,000 were in arrears at January 1,2020.
REQUIRED:
Compute the total amount of dividends on both preference share capital and ordinary share capital, assuming
a.) Preference is participating up to 14%
b.) Preference us participating up to 12%
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