Oblinger Corporation pays dividends at the end of each year. The dividends that it paid for 2009,

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Oblinger Corporation pays dividends at the end of each year. The dividends that it paid for 2009, 2010, and 2011 were $40,000, $30,000, and $90,000, respectively. Calculate the total amount of dividends Oblinger paid in each of these years to its common and preferred stockholders under both of the following capital structures:
(1) 10,000 shares of $100 par, 6 percent noncumulative preferred stock and 30,000 shares of $10 par common stock
(2) 5,000 shares of $100 par, 7 percent cumulative preferred stock and 30,000 shares of $10 par common stock. Oblinger had no dividends in arrears at the beginning of 2009.
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Financial Accounting

ISBN: 978-0538476010

11th edition

Authors: Belverd E. Needles, Marian Powers

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