The shareholders' equity of ILP Industries includes the items shown below. The board of directors of ILP declared cash dividends of $8 million, $20 million, and $150 million in its first three years of operation-2018, 2019, and 2020, respectively.

...................................................................($ in millions)

Common stock ...........................................................$100

Paid-in capital-excess of par, common ..............................980

Preferred stock, 8% ......................................................200

Paid-in capital-excess of par, preferred ..............................555

Required:

Determine the amount of dividends to be paid to preferred and common shareholders in each of the three years, assuming that the preferred stock is cumulative and nonparticipating.

.......................Preferred .................Common

2018

2019

2020