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qasimali34
Dec 1, 2008, 03:25 AM
how to calculate the dividend amount on preferred stock?

pready
Dec 10, 2008, 05:18 PM
For preferred stock there is a Percentage. Preferred stock pays a fixed rate of dividends by the precentage of the Par value of the stock.

For example a 2% 50 Par value Preferred stock will pay 50*2% = $1 divdend per share.