(L.OBJ. 5) Computing dividends on preferred and common stock [15-20 min] The following...

(L.OBJ. 5) Computing dividends on preferred and common stock [15-20 min]

The following elements of stockholders’ equity are adapted from the balance sheet of Smitts Marketing, Corp.

Smitts paid no preferred dividends in 2008.

Requirement

1. Compute the dividends to preferred and common for 2009 if total dividends are $150,000.