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Preferred stock
Purple company has 3000 $8 no oar preferred shares and 30,000 shares of no par value common shares outstanding. There are no dividends in arrears. The total amounts of dividends declared and paid by purple company were as follows:
2009 - $14000 2010 - $14000 2011 - $40000 2012 - $60000 determine the amount of dividends to be allocated to preferred and common shares for each of the four years when : a)preferred shares are cumulative b)preferred shares are noncumulative |
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