Answered

Westonci.ca is the best place to get answers to your questions, provided by a community of experienced and knowledgeable experts. Experience the convenience of finding accurate answers to your questions from knowledgeable professionals on our platform. Connect with a community of professionals ready to provide precise solutions to your questions quickly and accurately.

Testbank Multiple Choice Question 88 Concord Corporation, has 14300 shares of 4%, $100 par value, cumulative preferred stock and 59400 shares of $1 par value common stock outstanding at December 31, 2021. There were no dividends declared in 2019. The board of directors declares and pays a $116000 dividend in 2020 and in 2021. What is the amount of dividends received by the common stockholders in 2021

Sagot :

abiolataiwo2015

Answer:

$60,400

Explanation:

Calculation to determine the amount of dividends received by the common stockholders in 2021

2021 Dividend received =($116,000*2)-[(14,300 × $100 × .04)×3]

2021 Dividend received =$232,000-($57,200×3)

2021 Dividend received =$232,000-$171,600

2021 Dividend received =$60,400

Note that 2020 and 2021 will give us 2 years; 2019,2020and 2021 will give us 3 years

Therefore the amount of dividends received by the common stockholders in 2021 will be $60,400

Thank you for visiting. Our goal is to provide the most accurate answers for all your informational needs. Come back soon. We hope our answers were useful. Return anytime for more information and answers to any other questions you have. We're dedicated to helping you find the answers you need at Westonci.ca. Don't hesitate to return for more.