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Dividends Per Share Imaging Inc., a developer of radiology equipment, has stock

ID: 2571387 • Letter: D

Question

Dividends Per Share Imaging Inc., a developer of radiology equipment, has stock outstanding as follows: 15,000 shares of cumulative preferred 4% stock, $140 par, and 50,000 shares of $25 par common. During its first four years of operations, the following amounts were distributed as dividends: first year, $56,250; second year, $121,750; third year, $142,600; fourth year, $153,500 Compute the dividends per share on each class of stock for each of the four years. Round all answers to two decimal places. If no dividends are paid in a given year, enter "O". 1st Year 2nd Year 3rd Year 4th Year Preferred stock (dividend per share) Common stock (dividend per share)

Explanation / Answer

As per chegg guidelines we answer one question per post.. Kindly post remaining questions in next post Q1 Statementshowing Computations Paticulars Year 1 Year 2 Year 3 Year 4 Total Dividend Paid           56,250.00        121,750.00        142,600.00        153,500.00 Preference Dividend to be paid = 15,000*140*4%           84,000.00           84,000.00           84,000.00           84,000.00 Preference Dividend Paid = Existing + arrears           56,250.00        111,750.00           84,000.00           84,000.00 Dividend available for common stock                          -             10,000.00           58,600.00           69,500.00 Arrears of preference Dividend           27,750.00                          -                            -                            -   Preference dividend per share =Div/15000                     3.75                     7.45                     5.60                     5.60 Common stoc dividend per share= Div/50000                          -                       0.20                     1.17                     1.39