Zach Sports Ltd has 1,000 shares of $5.50, cumulative preferred shares and 10,000common shares issued and outstanding. In the previous year which was the first year of operations), the company paid total dividends of $1,000. The amount that must be paid to the preferred shareholders in the current year before any dividend is paid to common shareholders is:

Question

Quizplus · Accepted Answer

The Answer of Zach Sports Ltd has 1,000 shares of $5.50, cumulative preferred shares and 10,000common shares issued and outstanding. In the previous year which was the first year of operations), the company paid total dividends of $1,000. The amount that must be paid to the preferred shareholders in the current year before any dividend is paid to common shareholders is:

Zach Sports Ltd Has 1,000 Shares of $5