1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
n200080 [17]
3 years ago
13

Colliers, Inc., has 100,000 shares of cumulative preferred stock outstanding. The preferred stock pays dividends in the amount o

f $2 per share, but because of cash flow problems, the company did not pay any dividends last year. The board of directors plans to pay dividends in the amount of $600,000 this year. Required: What amount will go to preferred stockholders? How much will be available for common stock dividends?
Business
1 answer:
rodikova [14]3 years ago
8 0

Answer:

Preference dividend = $2 x 100,000 shares x 2 years

Preference dividend = $400,000

The dividend paid to common stockholders = $600,000 - $400,000

                                                                         = $200,000

Explanation:

Dividends paid on preference shares are cumulative in nature because preference shares are fixed income securities. The dividends not paid last year would be paid this year. This is the rationale behind the multiplication of preference dividend by 2 years.

The dividend paid to common stockholders is the difference between the total dividend and dividend paid to preferred stockholders.

You might be interested in
John owes Kathleen​ $5,000. In​ January, Kathleen assigns her right to collect the money to Jennifer. In​ March, Kathleen assign
Ann [662]

Answer: Kathleen

Explanation:

English Rule is that it does not matter about anyone else in the case. So long as John owes money to Kathleen, then Kathleen is the one who can claim the money.  

5 0
3 years ago
Read 2 more answers
Mid City Products Inc. (MCP), developed standard costs for direct material and direct labor. In 2017, MCP estimated the followin
Tasya [4]

Answer:

See below

Explanation:

The below shows the calculation of variance

Budgeted direct labor (per unit) 0.60

Units 2,000

Budgeted direct total labor (hrs) 1,200

Actual hours 1,160

Standard rate $17

Direct labor efficiency variance

The direct labor efficiency variance

= (Budgeted hours - Actual hours) × Standard rate

= (1,200 - 1,160) × $18

= $720 favourable

7 0
3 years ago
James has $1500 to open a checking account. He can maintain a monthly balance of at least $1000. He plans to use the ATM four ti
Tanya [424]

Answer: Account A

Explanation:

Account A would be best for James as it provides the most value for the things he would like to do.

  • ATM charges are free with this account so he can use the ATM four times in the month at no charge
  • He would pay no monthly fees as he uses direct debit
  • He would pay an annual fee of $0
  • And as online payments are free, he would not have to worry about getting charged for the 8 bills to process in the month.

3 0
3 years ago
2. Where do you fit in with the definition of economics<br>​
vovikov84 [41]

Answer:

middle class

Explanation:

I fit in middle class because I do not struggle and my family lives comfortably but we don't have millions

3 0
3 years ago
Suppose the Economist deletes several of the observations that had large residual values. If she re-estimated the regression equ
Advocard [28]

Answer:

hey there you need help

6 0
2 years ago
Other questions:
  • An accountant increases the price he charges for his services by 14 percent. In​ response, the demand for his services decreases
    14·1 answer
  • The Doodad Company purchases a machine for $440,000. The machine has an estimated residual value of $40,000. The company expects
    7·1 answer
  • Suppose you hit a 0.058-kgkg tennis ball so that the ball then moves with an acceleration of 10 m/s2m/s2. If you were to hit a b
    13·1 answer
  • In 2005, Mandy and Hal (mother and son) purchased land for $600,000 as joint tenants with right of survivorship. Of the $600,000
    6·1 answer
  • As customers of pierre’s dress shoppe prepared their wardrobes for winter, they purchased all of the long-sleeved dresses he had
    11·1 answer
  • Makes our arms, legs, and head move
    13·2 answers
  • Consider the relative liquidity of the following assets: Assets 1. A $5 bill 2. The funds in a savings account 3. A boat you own
    6·1 answer
  • If an individual pays an additional $0.30 in taxes as a result of a $1.00 increase in income, then that individual must have a(n
    13·1 answer
  • Imagine that an economic recession erodes consumer confidence. As a result, the marginal propensity to consume drops from .8 to
    11·1 answer
  • 4) An investor has $60,000 to invest in a $280,000 property. She can obtain either a $220,000 loan at 9.5 percent for 20 years o
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!