Answer:
$57,600
Explanation:
The computation of the total amount paid to preferred shareholders are shown below:
= Number of shares for preferred stock × par value × dividend rate × number of years
= 1,200 shares × $100 × 12% × 4 years
= $57,600
In case of cumulative, the number of years would be four years for dividend paid
All other information which is given is not relevant. Hence, ignored it
Answer:
The present of value of the bonds payable is $ 109,893.83
Explanation:
The present value of the bonds payable is the present of semiannual coupon payments as well as the repayment of face value in year 4.
coupon payments =$100,000*12%*6/12=$6,000
Face value receivable in year 4 is $100,000
Find attached spreadsheet detailing the computation of present value
The company's cost of preferred stock is $0.084 or 8.4%.
<h3>What Are Stocks?</h3>
A stock usually referred to as equity, is a type of investment that denotes ownership in a portion of the issuing company. Shares, also known as units of stock, entitle their owners to a share of the company's assets and income in proportion to the number of shares they possess.
cost of preferred stock = $0.084
cost of preferred stock = 8.4%
Hence, the company's cost of preferred stock is $0.084 or 8.4%.
To know more about the cost of preferred stock refer to: brainly.com/question/15728637
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His gross income would be $1 million but he should get some credit for the$400,000 donation as a percentage of that amount so this would reduce his income tax for that year accordingly and benefit him for his generosity.
