Amount of dividends distributed to the common shareholders


On November 7, 1997 the Black and Michael Blue Company's Board of Directors declared cash dividends of $75,000. Dividends have been paid by the Company for every year except 1996. The Company has the following types of stock issued and outstanding:

8% Cumulative Preferred Stock, $100 par value, 1,000 shares.Common Stock , $10 par value, 400,000 shares

The amount of dividends distributed to the Common Shareholders for 1997 would be:

a. $75,000
b. $74,200
c. $73,400
d. $67,000
e. $59,000

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Accounting Basics: Amount of dividends distributed to the common shareholders
Reference No:- TGS0707029

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