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    LaJuana's Avatar
    LaJuana Posts: 20, Reputation: 1
    New Member
    		  
    #1

    Oct 16, 2011, 05:26 PM
    Fletcher Company commenced business on January 1, 2007 but has never declared or paid
    Fletcher Company commenced business on January 1, 2007 but has never declared or paid any dividends. The following are account balances after closing the books at December 31, 2009:


    Cash $18,000
    Common stock, $1 par 1,000
    Paid-in capital in excess of par value 49,000
    Preferred stock, $100 par, 10%, cumulative 50,000
    Retained earnings 75,000


    Net income during 2009 totaled $30,000 and the Board of Directors wishes to distribute a total of $15,000 in cash dividends. The common stockholders will receive what amount per share?


    $15
    $11
    $ 3
    $ 0
    pready's Avatar
    pready Posts: 3,197, Reputation: 207
    Ultra Member
    		  
    #2

    Oct 17, 2011, 06:52 AM
    Divide your dividends by the number of shares issued and outstanding to get the dividend per share price.
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