Question

Magestic Manufacturing, Inc., reported the following at December 31, 2018, and December 31, 2019: (Click the icon to view the data.) Magestic Manufacturing has paid all preferred dividends only through 2015. Requirement 1. Calculate the total amounts of dividends to both preferred and common stockholders for 2018 and 2019 if total dividends are $60,000 in 2018 and $108,000 in 2019. Begin with 2018. Calculate the total amounts of dividends to both preferred and common stockholders for 2018 if total dividends are $60,000 Class of Stock 2018 Dividends Preferred Data Table - X Common Total Stockholders' Equity Preferred stock, cumulative, $6.00 par, 3%, 90,000 shares issued Common stock, $0.35 par, 9,230,000 shares issued $ 540,000 3,230,500

Answer 1

Calculation of Total amount of Dividends to both Preferred and Common Stuch hudent for 2018 if total dividens -gree 60.000 class of Stock _C4) «14t)․) 2018 ont ends | Prefened | Common $ 540000 X 3% x 3 years 84/99.11ng-Figure Cine 60000 - 48600) | 48600 11400 Total Dividends for 2018 6oooo -Glulation of Total amount of dividents to both preferred and Common Stockholders for 2019 if total dividen's are & 108000 Class of Stock Gleellation 2019 Dividends 44444en Pro Befosed Gmoon & 540000 x 3% X 1 year Ball996199 figure le lorooo - 16200) 16200 91800 Total Dividends for 2019 108000