1.MAP Consulting Inc. has 50,000 shares of 1% preferred stock of $100 par and 200,000 shares of $25 par common stock. The following amounts were distributed each year: Year 1: $120,000 Year 2: $100,000 Year 3: $300,000

Question

352 viewsOctober 17, 2016

0

Darshita 6.14K October 17, 2016 0 Comments

1.MAP Consulting Inc. has 50,000 shares of 1% preferred stock of $100 par and 200,000 shares of $25 par common stock. The following amounts were distributed each year:

Year 1: $120,000

Year 2: $100,000
Year 3: $300,000

1 Answer

score 0 · Answer 1 · 2016-10-17T11:00:56+00:00

Particular	Year 1	Year 2	Year 3

Total dividend paid	120,000	100,000	300,000
less :
Preferred Devidend*	50,000	50,000	50,000
Remaining paid to common stock holder	70,000	50,000	250,000
200,000 shares of $25 par common stock	20,000	20,000	20,000
Value of common Stock
(20000*25)	500,000	500,000	500,000
% of devidend	14	10	50
(Devidend*100 / Value)
Devidend Per share	4	3	13
(Devidend /Total Share)

Particular	Year 1	Year 2	Year 3
*preferred stock 1%	5,000,000	5,000,000	5,000,000
(50000 *100)
Dividend Rate	1%	1%	1%
Dividend Amount	50000	50000	50000

1 Answer

Contact us today