Warren Company began business on June 30, 2015. At that time, it issued 25,000 s
ID: 2508924 • Letter: W
Question
Warren Company began business on June 30, 2015. At that time, it issued 25,000 shares of $40 par value, 8% cummulative preffered stock and 100,000 shares of $5 par value common stock. Through the end of 2017, there has been no change in teh number of preffered and common share outstanding.
A) Assume that Warren declared and paid cash dividends of $103,000 in 2015, $0 in 2016 amd $461,000 in 2017. Compute tht total cash dividends amd the dividends per share paid to each class of stock in 2015, 2016, and 2017.
B) Assume that Warren declared and paid cash dividends of $0 in 2015, $160,000 in 2016 and $278,000 in 2017. Compute the total cash dividends and the dividends per share paid to each class of stock in 2015, 2016, and 2017.
Explanation / Answer
a) Compute tht total cash dividends amd the dividends per share paid to each class of stock in 2015, 2016, and 2017.
b) Compute tht total cash dividends amd the dividends per share paid to each class of stock in 2015, 2016, and 2017.
Preferred Preferred Common Common Year Amount Per share Amount Per share Total dividend 2015 80000 3.20 23000 0.23 103000 2016 0 0 0 0 0 2017 160000 6.40 301000 3.01 461000 Total 240000 9.60 324000 3.24 564000Related Questions
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