The following elements of shareholders' equity are adapted from the balance sheet of Brzynski Marketing Ltd.: Shareholders'

Question:

The following elements of shareholders' equity are adapted from the balance sheet of Brzynski Marketing Ltd.:

Shareholders' Equity

Preferred shares, $0.10, cumulative, 100,000 shares authorized,

60,000 shares issued and outstanding ............................................. $ 60,000

Common shares, 2,000,000 shares authorized, 900,000 shares issued

and outstanding ........................................................................1,500,000

The company has paid all dividends through 2015.

Required

Compute the dividends paid to preferred shareholders and to common shareholders for 2016 and 2017 if total dividends are $0 in 2016 and $47,000 in 2017. Round your answers to the nearest dollar.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...