Paying the common stockholders a dividend


Devons Company has 24,000 shares of $1 par common stock issued and outstanding. The company also has 2,000 shares of $100 par 3% cumulative preferred stock outstanding. The company did not pay the preferred dividends in 2007 or 2008. What amount of dividends must the company pay the preferred shareholders in 2009 if they wish to pay the common stockholders a dividend?

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Accounting Basics: Paying the common stockholders a dividend
Reference No:- TGS047554

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