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Computation of Common stock dividend.
Reiner Wholesale Merchandise had 20,000 shares of 6%, $20 par value preferred stock and 15,000 shares of $25 par value common stock outstanding throughout 2008. These data apply to each of the independent situations below.
Assuming that total dividends in 2008 were $35,000 and that the preferred stock is cumulative with one year's preferred dividends in arrears on December 31, 2007, the preferred stockholders should receive 2008 dividends totaling.
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