Ford LMS Corporation declared and paid cash dividends for the last three years as follows:

2018 - P2,500,000;

2019 - P3,500,000;

2020 - P6,500,000.

No dividends were paid for two years prior to 2018.

The capital structure of the company for the last three years were as follows:

12% Preference share capital, P100 par, 100,000 shares issued and outstanding; and Ordinary share capital, P10 par, 500,000 shares issued and outstanding.

Questions:

Answer the following with explanation:

1. What is the dividend per share on the ordinary shares in 2018, if the preference shares are noncumulative but fully participating?

2. How much is the dividends paid to the preference shareholders in 2019, if the preference shares are cumulative and fully participating?

3. What is the dividend per share on the ordinary shares in 2019, if the preference shares are cumulative and fully participating?

4. How much is the dividends paid to the preference shareholders in 2020, if the preference shares are noncumulative but participating up to an additional 8%?

5. What is the dividend per share on the ordinary shares in 2020, if the preference shares are noncumulative but participating up to an additional 8%?