Calculate the amount of dividends that would have to be paid

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Question - Preferred stock-calculate dividend amounts - Laura & Marty Ltd. did not pay dividends on its 7.0%, $100 par value cumulative preferred stock during 2018 or 2019, Since 2012, 60,000 shares of this stock have been outstanding. Laura & Marty Ltd. has been profitable in 2020 and is considering a cash dividend on its common stock that would be payable in December 2020. Calculate the amount of dividends that would have to be paid on the preferred stock before a cash dividend could be paid to the common stockholders.

Reference no: EM133110479

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