Sweet Company's outstanding stock consists of 1400 shares of cumulative 6% preferred stock with a $100 par value and 10,400 shares of common stock with a $10 par value. During the first three years of operation, the corporation declared and paid the following total cash dividends.   Dividend Declaredyear 1$2400?year 2$6400?year 3$34,000?The amount of dividends paid to preferred and common shareholders in year 3 is:

A. $16,400 preferred; $17,600 common.
B. $34,000 preferred; $0 common.
C. $8400 preferred; $25,600 common.
D. $0 preferred; $34,000 common.
E. $25,200 preferred; $8800 common.


Answer: A

Business

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