The Gibbs Corporation has outstanding 20,000 shares of 10 percent, $50 par-value, cumulative, nonparticipating preferred stock and 80,000 shares of $10 par-value common stock. The board of directors voted to distribute $80,000 as dividends in 2013, $110,000 in 2014, and $130,000 in 2012.
Compute the following:
1. Total dividend paid to preferred stockholders in 2013.
2. Total dividend paid to common stockholders in 2013.
3. Total dividend paid to preferred stockholders in 2014.
4. Total dividend paid to common stockholders in 2014.
5. Total dividend paid to preferred stockholders in 2012.
6. Total dividend paid to common stockholders in 2012.

Question

Quizplus · Accepted Answer

The Answer of The Gibbs Corporation has outstanding 20,000 shares of 10 percent, $50 par-value, cumulative, nonparticipating preferred stock and 80,000 shares of $10 par-value common stock. The board of directors voted to distribute $80,000 as dividends in 2013, $110,000 in 2014, and $130,000 in 2012.
Compute the following:
1. Total dividend paid to preferred stockholders in 2013.
2. Total dividend paid to common stockholders in 2013.
3. Total dividend paid to preferred stockholders in 2014.
4. Total dividend paid to common stockholders in 2014.
5. Total dividend paid to preferred stockholders in 2012.
6. Total dividend paid to common stockholders in 2012.

The Gibbs Corporation Has Outstanding 20,000 Shares of 10 Percent