XYZ Corporation has issued 575,999 shares of common stock and 100,000 shares of cumulative preferred stock. Annual dividends on the cumulative preferred stock are $4 per share. Last year, dividends of $2.50 per share were paid to preferred stockholders. This year the company has $1,990,000 net income and the board of directors decide to distribute 60% of net income as dividends. If you own 300 shares of common stock in XYZ Corporation, what will the total amount of your annual dividend be? Round your final answer to the nearest dollar.
XYZ Corporation has issued 575,999 shares of common stock and 100,000 shares of cumulative preferred stock. Annual dividends on the cumulative preferred stock are $4 per share. Last year, dividends of $2.50 per share were paid to preferred stockholders. This year the company has $1,990,000 net income and the board of directors decide to distribute 60% of net income as dividends. If you own 300 shares of common stock in XYZ Corporation, what will the total amount of your annual dividend be? Round your final answer to the nearest dollar.
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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XYZ Corporation has issued 575,999 shares of common stock and 100,000 shares of cumulative
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