a. If Preferred stock is Non Cumulative | ||
Total | Per Share | |
Paid the Preferred stockholders | =6810 *19 * 8%=10351.20 | 10351.20/6810=$1.52 |
Paid the Common stockholders | $62900-10351.20=52548.80 | 52548.80/44500=$1.18 |
b. | ||
b. If Preferred stock is Cumulative | ||
Total | Per Share | |
Paid the Preferred stockholders | 10351.20* 2 years = 20702.40 | 20702.40/6810=$3.04 |
Paid the Common stockholders | $62900-20702.40=42197.60 | 42197.60/44500=$0.95 |
Part-2 : The total Dividend amount and Dividend per Share for common share were less under the second assumption because the dividend in arrear on the preferred shares had be fulfilled before dividend could be paid for the Current Year |
Part-3 The possible cause would be :- |
The preferred dividends were not in arrears. |
The preferred dividends were not cumulative. |
The total dividend distribution was increased. |
Chapter 11 Homework Help Save & Exit Submit The records of Hoffman Company reflected the following...
The records of Hoffman Company reflected the following balances in the stockholders’ equity accounts at December 31, 2018: Common stock, par $12 per share, 46,500 shares outstanding. Preferred stock, 8 percent, par $12.5 per share, 7,210 shares outstanding. Retained earnings, $233,000. On January 1, 2019, the board of directors was considering the distribution of a $63,300 cash dividend. No dividends were paid during 2017 and 2018. Required: Determine the total and per-share amounts that would be paid to the common...
The records of Hoffman Company reflected the following balances in the shareholders’ equity accounts at December 31, 2017: Common shares, no par value, 41,500 shares outstanding $ 830,000 Preferred shares, $2, no par value, 6,400 shares outstanding 152,000 Retained earnings 239,000 On September 1, 2018, the board of directors was considering the distribution of a $65,505 cash dividend. No dividends were paid during 2013 and 2017. You have been asked to determine dividend amounts...
The records of Hoffman Company reflected the following balances in the shareholders’ equity accounts at December 31, 2017: Common shares, no par value, 40,500 shares outstanding $ 850,500 Preferred shares, $3, no par value, 6,200 shares outstanding 151,000 Retained earnings 237,000 On September 1, 2018, the board of directors was considering the distribution of a $69,630 cash dividend. No dividends were paid during 2013 and 2017. You have been asked to determine dividend amounts...
The records of Hollywood Company reflected the following balances in the stockholders' equity accounts at the end of the current year: Common stock, $11 par value, 32,000 shares outstanding Preferred stock, 12 percent, $9 par value, 7,000 shares outstanding Retained earnings, $233,000 On September 1 of the current year, the board of directors was considering the distribution of an $76,000 cash dividend. No dividends were paid during the previous two years. You have been asked to determine dividend amounts under...
The records of Hollywood Company reflected the following balances in the stockholders' equity accounts at the end of the current year: Common stock, $12 par value, 48,000 shares outstanding Preferred stock, 9 percent, $10 par value, 9,000 shares outstanding Retained earnings, $223,000 On September 1 of the current year, the board of directors was considering the distribution of an $66,000 cash dividend. No dividends were paid during the previous two years. You have been asked to determine dividend amounts under...
At December 31, 2016, the records of Hoffman Company reflected the following balances in the shareholders' equity accounts: Common shares: par $14 per share: 48,000 shares outstanding Preferred shares: 8 percent; par $10 per share; 7,200 shares outstanding Retained earnings: $224,000 On January 1, 2017, the board of directors was considering the distribution of a $66,000 cash dividend. No dividends were paid during 2015 and 2016 Required: Determine the total and per-share amounts that would be paid to the common...
At December 31, 2016, the records of Hoffman Company reflected the following balances in the shareholders' equity accounts: Common shares: par $12 per share; 40,000 shares outstanding Preferred shares: 8 percent; par $10 per share; 6,000 shares outstanding Retained earnings: $220,000 On January 1, 2017, the board of directors was considering the distribution of a $62,000 cash dividend. No dividends were paid during 2015 and 2016 Required: Determine the total and per-share amounts that would be paid to the common...
The records of Hollywood Company reflected the following balances in the stockholders' equity accounts at the end of the current year: Common stock, $12 par value, 42,000 shares outstanding Preferred stock, 12 percent, $10 par value, 7,000 shares outstanding Retained earnings, $228,000 On September 1 of the current year, the board of directors was considering the distribution of an $73,000 cash dividend. No dividends were paid during the previous two years. You have been asked to determine dividend amounts under...
The records of Hoffman Company reflected the following balances in the shareholders’ equity accounts at December 31, 2017: Common shares, no par value, 49,500 shares outstanding $ 990,000 Preferred shares, $3, no par value, 8,000 shares outstanding 160,000 Retained earnings 255,000 On September 1, 2018, the board of directors was considering the distribution of a $85,380 cash dividend. No dividends were paid during 2013 and 2017. You have been asked to determine dividend amounts...
Lab 9 Saved Не 1 At December 31, 2016, the records of Hoffman Company reflected the following balances in the shareholders' equity accounts Common shares: par $12 per share; 40,000 shares outstanding Preferred shares: 8 percent; par $10 per share; 6,000 shares outstanding Retained earnings: $220,000 10 points On January 1, 2017, the board of directors was considering the distribution of a $62,000 cash dividend. No dividends were paid during 2015 and 2016. Skipped евоой Required: Determine the total and...