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Question - The Roosevelt Car Company has determined that it will pay a total cash dividend of $80,000. Roosevelt has 1,000 shares of 5%, $100 par, cumulative, non-participating preferred stock with two years of dividends in arrears, currently selling for $131/share, and 20,000 shares of no-par, no stated value common stock issued and outstanding, currently selling for $15/share.
How much cash dividend will be paid on each share of common stock?
A. $3.02
B. $3.25
C. $3.50
D. $3.75
E. $4.00
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