fQuestion No$.1$: A$).$ KTM Corporation has paid all required preferred dividends through $2014$

December $31.$ Its outstanding stock consists of $10,000$ shares of Rs$.125$ par value common

stock and $4,000$ shares of $6$ percent, RS$.125$ par value preferred stock. During five

successive years, the company's dividend declarations were as follows:

Compute the amount of dividends that would have been paid to each class of stock in each

of the last five years assuming the preferred stock is:

a$.$ Cumulative.

b$.$ Noncumulative.

B Terrier Company has been authorized to issue $100,000$ shares of RS$.6$ par value common

stock and $1,000$ shares of $14$ percent, cumulative, preferred stock with a par value of RS$.12.$

a$.$ Prepare the entries for the following transactions that all took place in June $2009$:

$50,000$ shares of common stock are issued for cash at RS$.24$ per share.

$750$ shares of preferred stock are issued for cash at RS$.18$ per share.

$1,000$ shares of common stock are issued in exchange for legal services

b$.$ Prepare the paid$-$in capital section of Terrier's balance sheet as of $2009$ June $30.$