Ultimate Sportswear has $170,000 of 10% noncumulative, nonparticipating, preferred stock outstanding. Ultimate Sportswear also has $570,000 of common stock outstanding. In the company's first year of operation, no dividends were paid. During the second year, the company paid cash dividends of $37,000. This dividend should be distributed as follows:
A. $9250 preferred; $27,750 common.
B. $0 preferred; $37,000 common.
C. $18,500 preferred; $18,500 common.
D. $20,000 preferred; $17,000 common.
E. $17,000 preferred; $20,000 common.
Answer: E
You might also like to view...
In a ring topology
a. the network consists of a central computer which manages all communications between nodes b. has a host computer connected to several levels of subordinate computers c. all nodes are of equal status; responsibility for managing communications is distributed among the nodes d. information processing units rarely communicate with each other
In general, personal selling is used more with complex, expensive, and risky goods and in markets with fewer and larger sellers
Indicate whether the statement is true or false
Assume price and demand are related by the following function: v = 200 - p. If fixed cost = $10,000 and variable cost = $8, then the expression for profit is ________
Fill in the blank with correct word.
The shareholders normally determine the price for which shares will be issued
Indicate whether the statement is true or false