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2. The following data is available for John H. Corporation at December 31, common stock: authorize...

2. The following data is available for John H. Corporation at December 31, common stock: authorize shares 100,000 shares; issued number of shares 60,000 shares; treasury number of shares 5,000. If the Corporation pays a dividend of $2 per share, what is the total amount of the dividend paid to the common stockholders?
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Answer #1

Outstanding shares = Issued shares - Treasury shares

= 60,000 - 5,000

=55,000

Dividend paid to common stockholders = 55,000 shares * $2

= $110,000

Answer: $110,000

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