Reference no: EM132606600

ACCT551 Intermediate Accounting Assignment - DeVry University, USA

Question - The stockholders' equity section of Lemay Corporation shows the following on December 31, 2018: Preferred stock-5%, $100 par, 5,500 shares outstanding$550,000Common stock-$10 par, 61,000 shares outstanding610,000Paid-in capital in excess of par200,000Retained earnings108,700Total stockholders' equity$1,468,700

Assuming that all of the company's retained earnings are to be paid out in dividends on 12/31/18 and that preferred dividends were last paid on 12/31/16, show how much the preferred and common stockholders should receive if the preferred stock is cumulative and fully participating.