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What total amount distributed to the preference shareholder

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Problem 1: The outstanding stock is composed of 10,000 shares of P100 par, cumulative 5% preference shares, and 50,000 shares of P20 par ordinary shares. Preference dividends have been paid every year except for the preceding two years and the current year. If P145,000 is to distributed as a dividend for the current year, what total amount will be distributed to the preference shareholders?

a. P-0- b. P75,000 c. P150,000 d. P145,000

Reference no: EM132718750

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