Mardel Corporation had the following stock outstanding for years 2011 through 2014 preferred stock $100 par...
Mardel Corporation had the following stock outstanding for years 2011 through 2014
preferred stock $100 par value, 7% cumulative, 5000 shares issued and outstanding common stock $20 par value, 6000 shares issued and outstanding
Mardel paid $15,000, $30,000, $100,000 and $130,000 in cash dividends during 2011, 2012,2013, and 2014 respectively
A. calculate the total cash dividends received by owners of preferred stock and common stock in each year
B. Now assume that the preferred stock is noncumulative rather than cumulative. Calculate the total cash dividends received by owners of preferred and common stock in each year.
Homework Answers
| Par Value | Dividend per year @ 7 % | |||||
| Preferred Shares outstanding 5000 Shares @ $ 100 Par Value = | $ 5,00,000 | $ 35,000 | ||||
| Common Shares outstanding 60000 Shares @ $ 20 | ||||||
| Answer = A : Preference share is Cumulative | ||||||
| Cumulative means the if the preference dividend is not paid in the last year then that shoul be accumulate | ||||||
| in next years payment ot it will carry forward as unpaid dividend | ||||||
| Year | total Cash Dividend Paid (A) | Paid to Preferred Stock (B) | Paid to Common Shares (A -B) | Dividend in the arreas at the year end | Remarks | |
| 2011 | $ 15,000 | $ 15,000 | $ - | $ 20,000 | No Balance for Common Shares | |
| 2012 | $ 30,000 | $ 30,000 | $ - | $ 25,000 | No Balance for Common Shares | |
| 2013 | $ 1,00,000 | $ 60,000 | $ 40,000 | $ - | ||
| 2014 | $ 1,30,000 | $ 35,000 | $ 95,000 | $ - | ||
| TOTAL | $ 2,75,000 | $ 1,40,000 | $ 1,35,000 | |||
| Answer = B : Preference share is non- Cumulative | ||||||
| Non-Cumulative means the if the preference dividend is not paid in the last year then that shoul not be accumulate | ||||||
| in next years payment or if not paid in any year then no carry forward as arrier of preference shares | ||||||
| Year | total Cash Dividend Paid (A) | Paid to Preferred Stock (B) | Paid to Common Shares (A -B) | Dividend in the arreas at the year end | Remarks | |
| 2011 | $ 15,000 | $ 15,000 | $ - | $ - | No Balance for Common Shares | |
| 2012 | $ 30,000 | $ 30,000 | $ - | $ - | No Balance for Common Shares | |
| 2013 | $ 1,00,000 | $ 35,000 | $ 65,000 | $ - | ||
| 2014 | $ 1,30,000 | $ 35,000 | $ 95,000 | $ - | ||
| TOTAL | $ 2,75,000 | $ 1,15,000 | $ 1,60,000 | |||
Add Answer to:
Mardel Corporation had the following stock outstanding for years
2011 through 2014
preferred stock $100 par...
chart Corporation had both common stock and preferred stock outstanding from 2012 through 2014. Information about...
chart Corporation had both common stock and preferred stock outstanding from 2012 through 2014. Information about cach stock for the three years follows. Type Preferred Common Par Value 100 20 Shares Outstanding 40,000 600,000 Other 7% cumulative The company paid $140,000, s800,000, and $1,100,000 in dividends for 2012 through 2014, respectively. The market price per common share was $15 and $17 per share at the end of years 2013 and 2014, respectively. REQUIRED 1. Determine the dividends per share and...
Oriole Corporation has outstanding 10,500 shares of $100 par value, 6% preferred stock and 58,800 shares...
Oriole Corporation has outstanding 10,500 shares of $100 par value, 6% preferred stock and 58,800 shares of $10 par value common stock. The preferred stock was issued in January 2017, and no dividends were declared in 2017 or 2018. In 2019, Oriole declares a cash dividend of $281,000. (a) Assume that the preferred are noncumulative. How much dividend will the preferred stockholders receive? Preferred stockholders would received How much dividend will the common stockholders receive? Common stockholders would received (b)...
PLEASE HELPPP Wade's outstanding stock consist of 40,000 shares of non-cumulative 7.5% preferred stock with a 10 par val...
PLEASE HELPPP
Wade's outstanding stock consist of 40,000 shares of non-cumulative 7.5% preferred stock with a 10 par value and also 10,000 shares of common stock with a $1 par value. During its first four years of operation the corporation declared and paid the following total cash dividens 2011 2012 2013 2014 $ 10,000.00 $ 35,000.00 $ 100,000.00 $ 196,000.00 $341,000.00 Determine the distribution of dividends between common & preferred stockholders each year and in total. Determine the distribution of...
York’s outstanding stock consists of 75,000 shares of noncumulative 8.0% preferred stock with a $5 par value and also 130,000 shares of common stock with a $1 par value
[The following information applies to the questions displayed below.]York’s outstanding stock consists of 75,000 shares of noncumulative 8.0% preferred stock with a $5 par value and also 130,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends. Year 1 total cash dividends$18,600Year 2 total cash dividends28,000Year 3 total cash dividends270,000Year 4 total cash dividends420,000Use the data in Exercise 13-10 to determine the number of dividends...
Splish Corporation has outstanding 52,000 shares of $50 par value, 5% preferred stock and 369,000 shares...
Splish Corporation has outstanding 52,000 shares of $50 par value, 5% preferred stock and 369,000 shares of $1 par value common stock. The preferred stock was issued in July 2017, and no dividends were declared in 2017 or 2018. In 2019, Splish declares a cash dividend of $485,000. How will the dividend be shared by common and preferred stockholders if the preferred is noncumulative? Preferred Stockholders Common Stockholders How will the dividend be shared by common and preferred stockholders if...
Cash Dividends Kerry Company has 1,000 shares of $100 par value, 10% preferred stock and 9,800...
Cash Dividends Kerry Company has 1,000 shares of $100 par value, 10% preferred stock and 9,800 shares of $10 par value common stock outstanding. The preferred stock is cumulative and nonparticipating. Dividends were paid in 2012. Since 2012, Kerry has declared and paid dividends as follows: 2013 $ 0 2014 11,300 2015 22,800 2016 27,200 Required: 1. Determine the amount of the dividends to be allocated to preferred and common stockholders for each year 2014 to 2016. If an amount...
Carson Corporation has the following capital stock outstanding at December 31, 2019: 9% Preferred stock, $100...
Carson Corporation has the following capital stock outstanding at December 31, 2019: 9% Preferred stock, $100 par value, cumulative 15,000 shares issued and outstanding $1,500,000 Common stock, no par, $10 stated value, 500,000 shares authorized, 350,000 shares issued and outstanding $3,500,000 The preferred stock was issued at $110 per share. The common stock was issued at $16 per share. Instructions Prepare the paid-in capital section of the balance sheet at December 31, 2019. Carson Corporation Balance Sheet (partial) As of...
Fargo Company's outstanding stock consists of 650 shares of noncumulative 5% preferred stock with a $10 par value and 4,200 shares of common stock with a $1 par value. During the first three years of operation, the corporation declared and paid the follow
Fargo Company's outstanding stock consists of 650 shares of noncumulative 5% preferred stock with a $10 par value and 4,200 shares of common stock with a $1 par value. During the first three years of operation, the corporation declared and paid the following total cash dividends. Dividends Declared & Paidyear 1$30,000year 2$8,000year 3$39,000The amount of dividends paid to preferred and common shareholders in year 1 is
prpr entry to recognize these costs 11. (o points) From 2012 to 2014, Lumber Liquidators had the following capital structure 7% Preferred Stock, $10 par, 10,000 shares authorized, 5,000 shares is...
prpr entry to recognize these costs 11. (o points) From 2012 to 2014, Lumber Liquidators had the following capital structure 7% Preferred Stock, $10 par, 10,000 shares authorized, 5,000 shares issued and outstanding Common sook is par, 25,000 shares authorized, 20,000 shares ismued and 550,000 Outstanding Paid-in Capital in Excess of Par Preferred Stock Common Stock 40,000 60,000 80,000 $230,000 Total Capital Stock The board of directors determined the total amount available for dividends in each year from 2012 through...
York's outstanding stock consists of 80,000 shares of noncumulative 7.0% preferred stock with a $5 par...
York's outstanding stock consists of 80,000 shares of noncumulative 7.0% preferred stock with a $5 par value and also 140,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends. $ Year 1 total cash dividends Year 2 total cash dividends Year 3 total cash dividends Year 4 total cash dividends 16,500 26,000 275,000 425,000 Exercise 13-11 Dividends on common and cumulative preferred stock...
chart Corporation had both common stock and preferred stock outstanding from 2012 through 2014. Information about cach stock for the three years follows. Type Preferred Common Par Value 100 20 Shares Outstanding 40,000 600,000 Other 7% cumulative The company paid $140,000, s800,000, and $1,100,000 in dividends for 2012 through 2014, respectively. The market price per common share was $15 and $17 per share at the end of years 2013 and 2014, respectively. REQUIRED 1. Determine the dividends per share and...
Oriole Corporation has outstanding 10,500 shares of $100 par value, 6% preferred stock and 58,800 shares of $10 par value common stock. The preferred stock was issued in January 2017, and no dividends were declared in 2017 or 2018. In 2019, Oriole declares a cash dividend of $281,000. (a) Assume that the preferred are noncumulative. How much dividend will the preferred stockholders receive? Preferred stockholders would received How much dividend will the common stockholders receive? Common stockholders would received (b)...
PLEASE HELPPP
Wade's outstanding stock consist of 40,000 shares of non-cumulative 7.5% preferred stock with a 10 par value and also 10,000 shares of common stock with a $1 par value. During its first four years of operation the corporation declared and paid the following total cash dividens 2011 2012 2013 2014 $ 10,000.00 $ 35,000.00 $ 100,000.00 $ 196,000.00 $341,000.00 Determine the distribution of dividends between common & preferred stockholders each year and in total. Determine the distribution of...
Splish Corporation has outstanding 52,000 shares of $50 par value, 5% preferred stock and 369,000 shares of $1 par value common stock. The preferred stock was issued in July 2017, and no dividends were declared in 2017 or 2018. In 2019, Splish declares a cash dividend of $485,000. How will the dividend be shared by common and preferred stockholders if the preferred is noncumulative? Preferred Stockholders Common Stockholders How will the dividend be shared by common and preferred stockholders if...
prpr entry to recognize these costs 11. (o points) From 2012 to 2014, Lumber Liquidators had the following capital structure 7% Preferred Stock, $10 par, 10,000 shares authorized, 5,000 shares issued and outstanding Common sook is par, 25,000 shares authorized, 20,000 shares ismued and 550,000 Outstanding Paid-in Capital in Excess of Par Preferred Stock Common Stock 40,000 60,000 80,000 $230,000 Total Capital Stock The board of directors determined the total amount available for dividends in each year from 2012 through...
York's outstanding stock consists of 80,000 shares of noncumulative 7.0% preferred stock with a $5 par value and also 140,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends. $ Year 1 total cash dividends Year 2 total cash dividends Year 3 total cash dividends Year 4 total cash dividends 16,500 26,000 275,000 425,000 Exercise 13-11 Dividends on common and cumulative preferred stock...
Most questions answered within 3 hours.
-
If we observe in a protein solution that DNA is causing a
mixture 260/280 ratio ~0.9,...
asked 2 minutes ago -
Explain the steps involved in making cDNA from mRNA, and how you
would create a cDNA...
asked 2 minutes ago -
A beta (β) particle is described by which of the following?
Select the correct answer below:...
asked 5 minutes ago -
A new machine costs $150,000, lasts 10 years, has an annual
O&M cost of $50,000, and...
asked 8 minutes ago -
A newspaper in a large Midwestern city reported that the
National Association of Realtors said that...
asked 10 minutes ago -
1. Develop a use case diagram for the bank case study described
in Chapter 1. 2....
asked 20 minutes ago -
The phylum Protista has often been referred to as a junk drawer
of classification. Explain what...
asked 26 minutes ago -
The average amount of money spent for lunch per person in the
college cafeteria is $7.09...
asked 28 minutes ago -
You follow the lab procedure and at the end of Part 4C, you used
an average...
asked 47 minutes ago -
Write 250-450 words, about the following: • Analyze how a
servant leader in your organization or...
asked 51 minutes ago -
3. American and Japanese workers can each produce 4 cars a
year. An American worker can...
asked 54 minutes ago -
On October 1, 20X1, a company purchased a piece of land by
agreeing to pay the...
asked 1 hour ago