BUSINESS COLLEGE

Rachel's Designs has 1,700 shares of 5%, $50 par value cumulative preferred stock issued at the beginning of 2019. All remaining shares are common stock. Due to cash flow difficulties, the company was not able to pay dividends in 2019 or 2020. The company plans to pay total dividends of $14,000 in 2021. How much of the $14,000 dividend will be paid to preferred stockholders and how much will be paid to common stockholders

Answers

Answer 1
Answer:

Answer:

$12,750 and $1,250

Explanation:

The computation of the dividend paid is shown below:

For 2021, the preference dividend is

= 1700 shares × $50 × 5%

= $4,250

Since in 2019 and 2020 the dividend is not paid

So, For 2019 and for 2020, the preference dividend is

= $4,250 × 2 years

= $8,500

So total preference dividend is

= $4,250 + $8,500

= $12,750

And, the total dividend paid is $14,000

So, for the common stockholder, it is

= $14,000 - $12,750

= $1,250

Related Questions

American express and discover card are examples of open loop systems. a. True b. False
1. Fidelity Corporation offers to hire Ron to replace Mon-ica, who has given Fidelity a month's notice of intentto quit. Fidelity gives Ron a week to decide whether toaccept. Two days later, Monica signs an employmentcontract with Fidelity for another year. The next day,Monica tells Ron of the new contract. Ron immediatelysends a formal letter of acceptance to Fidelity. Do Fidel-ity and Ron have a contract? Why or why not? (See Ter-mination of the Offer.)
Both product development strategies and diversification strategies involve ________. A. leaving the current market selling a company's B. current products developing a new product C. selling in a company's current market D. selling in new as well as existing markets
E18-8 (LO2,3) (Determine Transaction Price) Aaron’s Agency sells an insurance policy offered by Capital Insurance Company for a commission of $100 on January 2, 2017. In addition, Aaron will receive an additional commission of $10 each year for as long as the policyholder does not cancel the policy. After selling the policy, Aaron does not have any remaining performance obligations. Based on Aaron’s significant experience with these types of policies, it estimates that policyholders on average renew the policy for 4.5 years. It has no evidence to suggest that previous policyholder behavior will change. Instructions (a) Determine the transaction price of the arrangement for Aaron, assuming 100 policies are sold. (b) Determine the revenue that Aaron will recognize in 2017.
] How should a gain from the sale of used equipment for cash be reported in a statement of cash flows using the indirect method?

Mila is helping to set performance targets for her company, Urban Supply. The target of increasing the company's online customer satisfaction rate by 1% in the next quarter is an example of a performance target focused on the customer perspective of the balance scorecard.a. true
b. false

Answers

Answer: True

Explanation:

The balanced scorecard perspective implies that the company has to satisfy their customer through the provision of quality products and services.

From the question, the target of increasing customers satisfaction is a good example of a performance target that is focused on customer's perspective of the balance scorecard. This means that the statement is true.

Pronghorn Corp has 8,300 shares of common stock outstanding. It declares a $3 per share cash dividend on November 1 to stockholders of record on December 1. The dividend is paid on December 31. Prepare the entries on the appropriate dates to record the declaration and payment of the cash dividend.

Answers

Answer:

dividends  24,900

   dividen payable    24,900

to record declaration of dividends

dividend payable   24,900

   cash                                  24,900

to recored payment of dividends

Explanation:

amount of dividends:

8,300 shares x $3 per share = 24,900

dividends  24,900

   dividend payable    24,900

to record declaration of dividends

we post the dividends declared and we post the payable

dividend payable   24,900

   cash                                  24,900

to recored payment of dividends

we decrease the cash account and write-off the dividend payable

A gas station with only one gas pump employs the following policy: If a customer has to wait to buy the gasoline, the price is $3.50 per gallon. If she does not have to wait to buy the gasoline, the price is $4.00 per gallon. Customers arrive according to a Poisson process with a mean rate of 20 per hour. Service times at the pump have an exponential distribution with a mean of 2 minutes. Arriving customers always wait until they can eventually buy gasoline. Determine the expected price (in $) of gasoline per gallon. Group of answer choices

Answers

Answer:

Explanation:

The arrival rate (λ) = 20 customers per hour. Since the service times at the pump have an exponential distribution with a mean of 2 minutes, therefore the service rate (μ) = 60 / 2 = 30 customers per hour.

The probability of the no  customers being in the system(P₀) is given as:

P_0=1-(\lambda)/(\mu) =1-(20)/(30)=1-0.67=0.33

If no customer is in the system we can sell gasoline for $4/gallon to the next customer. The expected price p of gasoline is given by:

P=P_0*4+(1-P_0)3.5=0.33*4+(1-0.33)3.5=1.32+2.345=3.665

P = $3.665 per gallon

4. The finest veal is _______-fed. A. field
B. grass
C. grain
D. milk

Answers

Answer:

The finest veal is milk-fed.

Explanation:

The finest veal is milk-fed.

Option - D

Explanation:

The meat of calves or younger male dairy breeds is said to be veal whereas the meat of older ones is called beef. Since the male calves cannot lactate, they are used for veal. In Culinary, the veal is mostly used in the form of cutlets, like cotoletta (Italian) or Wiener Schnitzel, the famous Austrian dish.

The majority of veal meat produced in the US is from milk-fed calves. The milk-fed veal has a firm, velvety and fine appearance with ivory or creamy pink in color.

Activity Cost Pool Total Cost Total Activity Activity Rate Machine setups $ 20,000 200 setups $ 100 per setup Special processing $ 150,000 10,000 MHs $ 15 per machine-hour General factory $ 200,000 20,000 direct labour-hours $ 10 per direct labour-hour Total overhead costs $ 370,000 What is the total overhead cost assigned to Product A, if Product A used 100 setups, no special processing and 10,000 direct labor-hours? $10,000 $1,000 $110,000 $100,000

Answers

Answer:

total overhead cost = $110,000

so correct option is c.  $110,000

Explanation:

given data

used = 100 setups

direct labor-hours = 1000

to find out

What is the total overhead cost assigned to Product A

solution

we get total overhead cost that is express as

total overhead cost = [ $100 per machine setup × 100 setups ] + [ $15 per machine-hours × 0 special processing ] + [ 10 per direct labor-hour × 10,000 direct labor-hours ]    

so

total overhead cost = $10,000 + $0 + $100,000

total overhead cost = $110,000

so correct option is c.  $110,000

One year ago, a U.S. investor converted dollars to yen and purchased 100 shares of Nardasausau stock in a Japanese company at a price of 3,150 yen per share. The total purchasing cost was 315,000 yen. At the time of purchase, in the currency market 1 yen equaled $0.00952. Today, Nardasausau stock is selling at a price of 3,465 yen per share, and in the currency market $1 equals 130 yen. The stock does not pay a dividend. If the investor were to sell the stock today and convert the proceeds back to dollars, what would be his realized return on his initial dollar investment from holding Nardasausau stock?

Answers

Answer:

$242.31

Explanation:

Purchasing cost of 100 shares a year ago = 315,000 yen

Today, 1 share = 3,465 yen

100 shares = 100×3,465 yen = 346,500 yen

Proceeds = 346,500 yen - 315,000 yen = 31,500 yen

Today, $1 = 130 yen

31,500 yen = $31,500/130 = $242.31
Other Questions
Producers believe the economy is headed for a recession, so they reduce their purchases of machinery and equipment. A. The Short Run Aggregate Supply curve shifts to the right. B. The Aggregate Demand curve shifts to the left. C. The Aggregate Demand curve shifts to the right. D. The Short Run Aggregate Supply curve shifts to the left.
Consider the following statement: "A consistent countercyclical policy has no effect on employment and output, since individuals will recognize those policies as systematic and will anticipate them correctly." This statement is most closely associated withSelect one:a. classical theory.b. Keynesian theory.c. new classical theory.d. monetarist theory.
Fern motors is offering a rebate on cars purchased this month. this activity involves the ____ ingredient of the marketing mix.
Sid's Skins makes a variety of covers for electronic organizers and portable music players. The company's designers have discovered a market for a new clear plastic covering with college logos for a popular music player. Market research indicates that a cover like this would sell well in the market priced at $24.50. Sid's desires an operating profit of 25 percent of costs. Required: What is the highest acceptable manufacturing cost for which Sid's would be willing to produce the cover? (Round your answer to 2 decimal places.)