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marishachu [46]
3 years ago
9

Assuming the preferred stock is cumulative, compute the amount of dividends to preferred stockholders and to common stockholders

for 2018 and 2019 if total dividends are $9,000 in 2018 and $45,000 in 2019. Assume no changes in preferred stock and common stock in 2019. (Assume all preferred dividends have been paid prior to 2018. Complete all input boxes. Enter a "O" for zero amounts. For the current year preferred dividend, be sure to enter the calculated dividend on the "current year dividend" line and the paid out dividend on the "total dividend to preferred stockholders" line.) Northern's 2018 dividend would be divided between preferred and common stockholders in this manner: 9000 Total Dividend 2018 Dividend to preferred stockholders: Dividend in arrears Current year dividend Total dividend to preferred stockholders 8800 (9000) Dividend to common stockholders
Business
1 answer:
dolphi86 [110]3 years ago
5 0

Answer:

The first part of the question is missing, so I looked for a similar question. I'm not sure that it is the same, but it can help you understand how to solve it.  

Paid-In Capital:

Preferred Stock—5%, $11 Par Value; 150,000 shares authorized, 20,000 shares issued and outstanding : $220,000

Common Stock—$2 Par Value; 575,000 shares authorized, 380,000 shares issued and outstanding : 760,000

total dividends distributed:

2018: $9,000

2019: $45,000

preferred dividends = $220,000 x 5% = $11,000

Distributed dividends:

2018:

$9,000 in dividends distributed to preferred stockholders, $0.45 per preferred stock.

2019:

$13,000* in dividends distributed to preferred stockholders, $0.65 per preferred stock.

$32,000 in dividends distributed to common stockholders, $0.084 per common stock.

Since preferred dividends are cumulative, if they are not paid off during a certain year, they will have to be paid in the future before any common dividends are distributed.

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Answer:

Journal entry to eliminate Sale to Peter Company

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Explanation:

Peter Company and Sally Company are in a group and Peter Company is the Parent whilst Sally Company is the subsidiary.

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2 years ago
Most new jobs in the United States will be in the____.
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Which of the following situations might convince an employer to choose a nonqualified retirement plan over a qualified profit-sh
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Answer:

All the options might convince to an employer to choose a nonqualified retirement plan over a quialified plan.

en A). the owner of the corporation would use a nonqualified plan because the income tax rate of the business is lower than the owner´s tax rate.  

B) Is a true statement.  as nonqualified plans are typycally only stablised to benefit the executive and there are no requirements to benefit thr rank and file

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2 years ago
Alt Corp. issues 5,000 shares of $10 par value common stock at $14 per share. When the transaction is recorded, increases are ma
HACTEHA [7]

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Explanation:

The journal entry for issuance of the common stock for cash is shown below:

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While recording this entry it increased the assets so the cash account is debited while at the same time it also increased the common stock for $50,000 and the additional paid in capital in excess of par value i.e $20,000 so both these account are credited

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3 years ago
If the contribution margin is not sufficient to cover fixed expenses: a. total profit equals total expenses. b. a net operating
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Answer:

Option b. a net operating loss occurs.

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