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Determine the dollar amount of dividends

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Question - On December 31, 2015, Alpha  Corporation has outstanding 1,000 shares of $100 par value, 7% cumulative and nonparticipating preferred stock, and 20,000 shares of $10 par value common stock. No dividends were paid in 2014 and 2015. During 2016, Alpha distributed $40,000 in dividends. Use this information to determine for the 2016 the dollar amount of dividends that will be distributed to:

1. Preferred Stock

2. Common Stock

Reference no: EM131622310

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