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How much will be paid to the common stockholders

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Question - A company has 240,000 shares of preferred stock, 8% cumulative, $100 par value. It also has 2,800,000 shares of common stock, $0.01 par value. (The share information represents the numbers of shares issued and outstanding for both types of stock.) Dividends in arrears at the beginning of the year totaled $960,000. If the company's board of directors declares a total dividend of $3,300,000 to be distributed to preferred and common stockholders, how much will be paid to the common stockholders?

Reference no: EM133187591

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