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shayray1
Feb 6, 2011, 07:35 AM
preferred $6 stock, $100 par (no change during year)= $200,000. What are the dividends

pready
Feb 6, 2011, 10:38 AM
Par value times the percentage rate times number of shares outstanding.

Therefore $200,000 divided by the Par value of $100 = number of shares outstanding.

$100 par value * $6 = dividends per share

Dividends per share * number of shares outstanding = total dividends to be paid.