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Exercise - Allocating dividends between common and cumulative preferred shares
The outstanding share capital of Sheng Inc. includes 43,000 shares of $9.60 cumulative preferred and 78,000 common shares, all issued during the ?rst year of operations. During its ?rst four years of operations, the corporation declared and paid the following amounts in dividends:
Year Total Dividends Declared
2018 - $ -0-
2019 - 440,000
2020 - 1,058,000
2021 - 440,000
Required - Determine the total dividends paid in each year to each class of shareholders. Also determine the total dividends paid to each class over the four years.
Credit account titles are automatically indented when amount is entered. Do not indent manually. Round intermediate calculations
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