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-   -   How do I calculate preferred dividends from preferred stock (https://www.askmehelpdesk.com/showthread.php?t=551819)

  • Feb 6, 2011, 07:35 AM
    shayray1
    how do i calculate preferred dividends from preferred stock
    preferred $6 stock, $100 par (no change during year)= $200,000. What are the dividends
  • Feb 6, 2011, 10:38 AM
    pready

    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.

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